Business

Reference
Guide

This Business Reference Guide is current as of September 2024.

CONTENTS
B. MANAGING YOUR BUSINESS
Product Information and Ordering B-1
AMWAYPROMISE™ B-1
Returns B-1
Use this Guide to discover Warranty & Service Program B-1
and learn more about how to Product Liability Protection B-2
earn income, understand the Procedures for Handling Complaints B-2
Sales Tax B-2
Rules of Conduct and find Business Licenses B-2
helpful business information. Zoning Ordinances B-2
Bookkeeping Basics B-2
Income Tax B-3
INTRODUCTION
Insurance B-3
Welcome to Amway™ 2
Training and Business Support Materials B-3
The Amway Opportunity 2
Responsibility Statement B-4
Independent But Not Alone 2
Succession Planning B-4
The Independent Business Owners
Partner Stores B-4
Association International (IBOAI®) 3
Approved Providers of Licensed Amway
C. RULES OF CONDUCT
Training and Support 3
Introduction C-2
The Direct Selling Association 3
Definitions C-2
IBO Responsibilities 3
Becoming an IBO C-3
Code of Ethics 4
Responsibilities and Obligations C-4
Training Resources 4
Presentation of the Plan, Sponsorship
and Support C-7
A. THE PLAN
Preservation of the Line of Sponsorship C-8
1. Personal Sales A-1
Business Support Materials C-13
A. Retail Markup A-1
Marks and Copyrighted Works C-14
B. Monthly Commissions and Sales Incentives A-1
Complying with the IBO Contract C-15
C. Awards and Qualifications A-2
Modification of the IBO Contract C-15
2. Build Your Own Sales Group A-3 Dispute Resolution Procedures C-16
A. Shared Commissions A-3
1. Personal Volume A-3
2. Differential on Personally Sponsored Volume A-4

3. Build Your Own Sales Groups A-4

A. Monthly Leadership and Depth Bonuses A-4 BUSINESS CONDUCT AND RULES
DEPARTMENT CONTACT INFO
B. Annual Bonuses A-5
Email [email protected]
C. Emerald and Emerald Profit Sharing Bonuses A-5
Phone 616-787-6712
D. Diamond and Diamond Plus Bonuses A-5 Fax 616-787-7896
Addendum | Bonus Calculations A-6
Addendum | Award and Recognition
Qualifications A-11
Addendum | Managing Your Amway
Independent Business A-14
INTRODUCTION
Welcome to Amway IBO is a product ambassador who tells that story. The
Amway IBO Compensation Plan (“Plan”) ensures that
Congratulations, Independent Business Owner – you
you, the IBOs who support you and the IBOs you
have started your own business! We are proud that you
support, are all being compensated from product sales.
have decided to associate yourself with our products
and the Amway™ brand, and we are excited about Amway recognizes the value of a sales group that works
supporting you as you start and build your business. together and supports each individual’s sales success,
Amway is a family-owned company, built on a and our Plan is designed to encourage just that –
foundation of innovative products and solutions and the members of a sales team are encouraged and
power of relationships. We are built around a passion to incentivized to support each other. However, it is
help Independent Business Owners like you bring our important to note that sales drive compensation at
innovative products and solutions to customers who Amway. Amway compensates IBOs through commissions
want and need what we have to offer. We know that based on product sales. Neither Amway nor IBOs make
running a customer-centered business can be very money just from registering people as customers or from
rewarding, but it also takes work. We want to provide as New IBOs joining. Amway and IBOs make money from
much support as possible as you build your business. the sale of products.
This Business Reference Guide will help you throughout
your journey. Read over it to get started – and refer to it Independent But Not Alone
anytime you have a question about your business. IBOs own and operate their own Independent Businesses
(“IBs”) through which they sell Amway products and,
The Amway Opportunity
once eligible, may sponsor others to do the same. As
Amway provides the opportunity to access and sell a independent contractors, IBOs are required to comply
broad range of products available exclusively to with the IBO contract (described below), but otherwise
Independent Business Owners (“IBOs”) for resale to have the freedom to work how, when and where they
customers. IBOs are the only authorized source for the want. They define what success means to them, set their
products Amway distributes. IBOs are authorized to own goals and develop a plan for how to get there. And
purchase and resell these products to their customers in they have the support of their upline, as well as
individual, personal transactions (not through retail thousands of Amway employees, and other
stores or public online e-commerce platforms). The organizations (described below) – all working hard to
personal relationship between IBOs and their customers help them achieve their goals.
is essential to this business. Amway believes that the
These departments within Amway are always ready to
true value of its products is unlocked when IBOs explain
answer questions:
and demonstrate the unique features and benefits of
these products and provide service and support that Customer Service (CS)
make customers feel uniquely supported. This is the very Business Conduct and Rules (BCR)
core of the direct selling business model – person-to- Business Support Materials (BSM)
person relationships that drive customer confidence
We also want to take this opportunity to tell you more
and, therefore, sales.
about how you are supported in your development as an
We also recognize one person can only service a limited IBO. We have said that you are in business for yourself
number of customers and that it takes time to learn how but never by yourself. This does not just mean that you
to effectively meet customer needs. The good news is get support from Amway and other IBOs. IBOs have
that IBOs do not have to do this alone. Another feature access to three other resources, which are described in
of the Amway direct selling business model is that IBOs more detail in the next sections. Importantly, as part of
are supported by other IBOs – people with more the recently-enhanced AmwayPROMISE™, IBOs in their
experience who have developed skills and methods that first contract year with Amway pay nothing for their
they are willing to share with other IBOs. As an IBO, registration with Amway, receive complimentary
therefore, you are a member of a broader sales team. membership in the Independent Business Owners
Likewise, you have the opportunity, as you increase your Association International (described below) and must
understanding of the business and your skillset, to not be charged by Amway, any IBO or any Approved
identify and encourage others to start their own Provider (described below) for any training and support
independent businesses with Amway as a part of your they may receive during their first contract year. For
sales team. You then become responsible for providing more information about the AmwayPROMISE, see
support that helps them develop their own businesses as weareamway.com/amway-promise/.
IBOs. Amway’s direct selling business relies on person-
to-person contact; relationships are the heart of our
business. Every product has a unique story, and every

2
INTRODUCTION
The Independent Business Owners Association Approved Providers of Licensed Amway Training and
International (IBOAI) Support
IBOs are supported by an independent membership- Approved Providers are for-profit companies owned and
based trade association known as the Independent operated by IBOs and accredited and licensed by
Business Owners Association International, Inc.®* (the Amway to provide value-added training and support to
“IBOAI”). The IBOAI provides a wide range of services IBOs. Products and services offered by Approved
and support to IBOs, but it’s more than that: it is the Providers are optional (Amway does not require IBOs to
voice of all IBOs – a clear, open channel of purchase products or services from any Approved
communication between IBOs and Amway North Provider), but many IBOs find that they are helpful as
America. You and every other IBO are the heart of the they build their Amway businesses. IBOs who choose to
Amway opportunity and when the IBOAI was first work with Approved Providers and purchase their
established in 1959 as the American Way Association, products and services should ensure that their expenses
the founding IBOs discovered the importance of making are reasonably related to their own income and sales
sure all IBOs had a voice in the Amway business. They and that their participation with Approved Providers
believed in several founding principles, including the supports their business goals and success. Under the
right to be in business for yourself and that the recently-enhanced Amway Promise, Approved Providers
opportunity should be open to all people from all walks have agreed not to charge New IBOs in their first
of life. The IBOAI listens to IBOs’ ideas, proposes contract year. Most Approved Providers provide some
improvements and makes recommendations to Amway complimentary products and services to New IBOs until
on the best ways to move the business forward. The those IBOs are eligible to purchase them.
IBOAI Board is composed of 15 voting members qualified
at the Diamond level or above, elected by IBOs qualified The Direct Selling Association
at the Platinum level or above. All IBOs are offered Amway’s local operations in different countries around
complimentary membership in the IBOAI when they the world are prominent and active members of regional
register for the first time with Amway, and any IBO can and national direct selling associations worldwide, and
renew their IBOAI membership when they renew their Amway executives hold important positions in many of
Amway registration. More information about the IBOAI these associations. In the U.S., Amway has been a
can be found at IBOAI.com. You may contact the IBOAI member of the Direct Selling Association (DSA™)† since
either through your upline or directly at: 1962. Check out the DSA’s website, www.dsa.org, to
learn more.

IBOAI IBO Responsibilities

220 Lyon Street NW, Suite 850
IBOs know the power and privilege of business
Grand Rapids, MI 49503
ownership and along with these comes responsibility.
[email protected]
Every IBO has a legal contract with Amway, which
Phone: 616-776-7714 Fax: 616-776-7737
includes the Registration Agreement and the Rules of
Conduct (“Rules”), located in Section C of this Guide.
Together with the other documents referenced in Rule
1.1, we refer to these documents as the “IBO contract.”
It’s your responsibility to understand and follow the
requirements of the IBO contract. Please review the
entire Rules of Conduct in this Guide, as well as the
Quality Assurance Standards for Content on
amway.com.

*
IBOAI is a registered trademark of Independent Business Owners Association International.
†
Direct Selling Association (DSA) is a trademark of the Direct Selling Association.

3
INTRODUCTION
Code of Ethics
IBOs are committed to conducting business according to
the following principles:
• IBOs will follow not only the letter of the IBO contract,
including the Registration Agreement and the Rules of
Conduct, but also the spirit of the IBO contract.
• IBOs will conduct themselves in such a manner as to
reflect only the highest standards of integrity,
honesty and responsibility because they recognize
that their actions as IBOs have far-reaching effects,
not only on their businesses, but on those of other
IBOs as well.

Training Resources
There’s a lot to learn when you first get started and more
experienced IBOs are a great resource for information
on building sales in a business. Amway also offers a
variety of complimentary educational resources that
you may find helpful. The educational videos focus on
topics like selling, making money and business
essentials. You can find them on academy.amway.com.
You can also find additional support from Amway-
accredited Approved Providers. Remember that New
IBOs have access to many offerings from most Approved
Providers on a complimentary basis, and that Approved
Providers have agreed not to charge New IBOs for their
services during IBOs’ first contract year with Amway.
Similarly, IBOs are prohibited from charging New IBOs
for any training or support during their first contract
year with Amway. For additional materials to help you
grow your business, log in to amway.com and visit the
Resource Center.

4
THE PLAN
SECTION CONTENTS
1. Personal Sales A-1 3. Build Your Own Sales Groups A-4
A. Retail Markup A-1 A. Monthly Leadership and Depth Bonuses A-4
B. Monthly Commissions and Sales Incentives A-1 B. Annual Bonuses A-5
C. Awards and Qualifications A-2 C Emerald and Emerald Profit Sharing Bonuses A-5
D. Diamond and Diamond Plus Bonuses A-5
2. Build Your Own Sales Group A-3
A. Shared Commissions A-3 Addendum | Bonus Calculations A-6
1. Personal Volume A-3 Addendum | Award and Recognition
2. Differential on Personally Sponsored Volume A-4 Qualifications A-11
Addendum | Managing Your Amway
Independent Business.......................................... A-14

A A
THE PLAN | HOW YOU EARN INCOME
The Amway Independent Business Owner Compensation Plan make or report a Verified Customer Sale2 you will receive a
(the “Plan”) offers several pathways to earning income from the minimum commission of 10% of the IBO cost for those products,
sale of nutrition, beauty, personal care and home products. which Amway pays directly to you as part of its Customer Sales
Incentive program.3 When combined with retail markup, this
1. Personal sales equates to a minimum of 21% earned on every Verified
Customer Sale made by you each month.
The Plan begins with the opportunity to earn retail markup and
commissions on the sale of products.1 For example, Amway offers a variety of bundled product
Solutions designed to support the overall health and wellbeing
A. Retail markup of your customers. One such Solution is our Nutrilite™ Everyday
As an Amway Independent Business Owner (“IBO”), you can Nutrition Solution, which helps fill nutrient gaps in many daily
begin earning income as soon as you start selling any of the diets by bundling our Nutrilite Double X™ Multivitamin, Nutrilite
products offered through Amway. When you sell to a customer Organics Plant Protein Powder and Nutrilite Advanced Omega
directly, you always keep the difference between the price you supplements. Assuming a retail price of $146 for all three
paid for a product and the price at which you sell that product products, you will earn a minimum of more than $28 in retail
– this is called retail markup. When a Guest or Registered markup and commissions for every solution you sell each
Customer linked to you makes a purchase on amway.com or month. As you grow your
another Amway digital retail channel, Amway collects and pays customer base and increase
you – as the selling IBO – a retail markup of 11% of the sales your monthly sales you also
total. increase your earnings.
With a combined retail
B. Monthly commissions and sales incentives markup and commissions of
21% on each sale, selling
Amway also pays commissions and sales incentives. The
five Solutions will earn you
majority of these commissions and incentives are available to
nearly $143 each month.
the IBO who makes the sale, based on the volume of product
Sell eight to earn $228 or
sales that IBO makes in a given month. For example, when you
ten to earn $285!

Verified Customer Commission with Total Payout %

Sales at Retail IBO Cost Retail Markup Customer Sales Total Payout (Based on IBO
Price Incentive Cost)

$100 $90 $10 $9 $19 21%

$200 $180 $20 $18 $38 21%

$300 $270 $30 $27 $57 21%

$400 $360 $40 $36 $76 21%

$500 $450 $50 $45 $95 21%

$1,000 $900 $100 $90 $190 21%

$2,000 $1,800 $200 $180 $380 21%

$3,000 $2,700 $300 $270 $570 21%

1
There is also an opportunity to earn additional incentives and awards through Amway’s Core Plus discretionary incentives program, which is separate
from the Plan and subject to change at any time.
2
Customer Sales are sales made to a customer through an Amway digital retail channel or reported using the Create a Receipt tool. All Verified
Customer Sales must capture the name and unique mobile phone number of the customer, along with the product and retail price. For a sale reported
using the Create a Receipt tool to qualify as a Verified Customer Sale, the sale of the product must have occurred within six months of its purchase
from Amway.
3
The Customer Sales Incentive program, which is part of the Core Plus discretionary incentives program and thus subject to change, is available to
IBOs at or below the 9% Performance Bonus level for the remainder of IBO Performance Year in which they first register plus the next two full IBO
Performance Years. For more information on Performance Bonus levels, please see the “Build Your Own Sales Team” section below.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-1
THE PLAN | HOW YOU EARN INCOME
As your sales in a given month increase, however, you have the Maintaining your SILVER PRODUCER qualification for all twelve
potential to earn even greater commissions. In addition to the months of the IBO Performance Year qualifies you as a
10% commission paid on every Verified Customer Sale through FOUNDERS PLATINUM.6 Attaining FOUNDERS PLATINUM status
our Customer Sales Incentive program, Amway pays a Monthly opens the door to even greater rewards. For example, you can
Performance Bonus of up to an additional 15% of your total earn a $2,500 cash incentive payment for your achievement
monthly product sales, for a total commission of up to 25% on and a second cash incentive payment of $7,500 when you
every product you sell. With volume-based commissions of up requalify as FOUNDERS PLATINUM for a second consecutive
to an additional 6% available to qualifying IBOs, you can earn year.
up to 42% in commissions and retail markup on your total
By earning 12 Personal Qualification (PQ) months through the
Amway sales each month. As explained below, however,
Personal Group Growth Incentive, or by qualifying as an
commissions and retail markup are only the beginning of the
Emerald Bonus Recipient (EBR) you could also be eligible for an
rewards available to you as an Amway IBO. Read on to learn
invitation to our annual Achievers conference. Our largest
more…
conference of the year, Achievers is where the best and
C. Awards and qualifications brightest in the business meet to enjoy expert product and
training sessions, social and adventure experiences, and
As you expand your customer base and grow your monthly recognition for their outstanding achievements.7
sales volume, you also expand your opportunity to earn greater
rewards and recognition from Amway, including Core Plus As you build your monthly sales, you also become eligible for
discretionary incentives (IBOs must meet baseline requirements our Performance Plus Incentive, Performance Elite Incentive and
in order to be eligible to participate). For example, in each Ruby Bonus, each of which pays qualifying IBOs an additional
month you generate sales sufficient to earn a Monthly 2% on total product sales in each qualifying month8 for an
Performance Bonus of 25%, you qualify for recognition as an opportunity to earn a total of up to 42% in sales commissions
Amway SILVER PRODUCER. In addition to the 25% commission and retail markup.
earned by you on your total sales during each of those months,
you will be awarded a SILVER PRODUCER pin and your
achievement will be recognized by Amway in various Amway
publications. Qualify as a SILVER PRODUCER for any three
months of the IBO Performance Year4 to earn recognition as a
GOLD PRODUCER as well as a GOLD PRODUCER pin.
IBOs who qualify as a SILVER PRODUCER for six months of the
IBO Performance Year, only three of which must be consecutive,
attain PLATINUM pin level status. Qualifying as PLATINUM is an
important milestone as it identifies you as an Amway sales
leader. It also earns you an invitation to New Platinum
Conference – a two-day, expenses-paid business seminar with
world-class training and the opportunity to connect with
Amway staff and executives – and entitles you to participate in
our annual discretionary rewards program. For those achieving
PLATINUM for the very first time, these rewards include a cash
incentive payment of $1,500. Requalify the following year to be
eligible to earn a second payment of $3,500!5

4
The IBO Performance Year runs from September 1 to August 31 each year.
5
All cash incentive payments for first time or recurring pin qualifications are part of our discretionary Core Plus discretionary incentives program and
thus subject to change.
6
An IBO who qualifies as a SILVER PRODUCER for at least ten months of the Performance Year but also generates sales volume equivalent to that
needed to qualify for the full twelve months will also qualify at the FOUNDERS PLATINUM level through our Volume Equivalency policy.
7
For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before
expenses. See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer
base, business experience, effort, dedication, and quality and performance of the downline sales team.
8
For additional information on these bonuses, please see the Bonus Calculations addendum beginning at page A-6. Please also note that the
Performance Plus Incentive and Performance Elite Incentive are part of our discretionary Core Plus discretionary incentives program and thus subject
to change.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-2
THE PLAN | HOW YOU EARN INCOME
2. Build your own sales group As the total Monthly PV of your sales group grows, so does the
percentage used to calculate your gross Monthly Performance
The rewards and recognition outlined above are also available if Bonus of up to 25% based on the following two factors:
you choose to increase the points of sale available to you by
building your own Amway sales group. Building a sales group at 1. Personal Volume
Amway entails sponsoring New IBOs into the Amway business
When calculating your Monthly Performance Bonus as a sales
and training them to sell Amway products just like you. By
group leader, the “pass up” sales volume from your frontline
providing training, guidance and support to help each member
IBOs – both PV and BV – is added to the PV/BV generated
of your sales group succeed, you can accelerate and maximize
directly by you to determine your Group PV/BV and associated
your own earnings. Here’s how…
Performance Bonus level. In the following example, the
A. Shared commissions Performance Bonus level percentage paid to you on your
personal sales volume increases from 3% to 12% as a result of
All Amway sales commissions are based on product sales and the pass-up volume generated by your frontline sales group.
two basic elements – Point Value and Business Volume. Point
Value, or PV, is a unit amount assigned to each product
available for sale through Amway. Business Volume, or BV, is a Personal Performance
IBO Group PV/BV
dollar figure assigned by Amway to each product it sells.9 When PV/BV Bonus Level
you choose to build an Amway sales group, the total PV
You 150/450 1,300/3,900 12%
associated with the monthly product sales volume of both you
and your personally sponsored sales group members, known as → Passes Up
your “frontline,” combines to determine your Performance Frontline A 450/1,350 6%
to You ↑
Bonus level based on the Performance Bonus Schedule set forth
below.10 → Passes Up
Frontline B 100/300 3%
to You ↑
Performance Bonus Schedule
→ Passes Up
Frontline C 600/1,800 9%
Monthly PV Performance Bonus to You ↑
Level
7,500 or more 25% of BV This pass-up volume also rewards you by guaranteeing that
you will always be paid at or above the same Performance
6,000-7,499 23% of BV Bonus level as the IBOs you personally sponsor and train.11 It is
4,000-5,999 21% of BV important to note, however, that pass-up volume in no way
affects the compensation earned by and paid to your frontline
2,500-3,999 18% of BV IBOs. All IBOs are always paid based on the products they
1,500-2,499 15% of BV personally sell each month, known as their “Personal Volume.”12
However, those IBOs who build and maintain a productive sales
1,000-1,499 12% of BV group are rewarded further with additional bonuses based on
what is known as the “differential on personally sponsored
600-999 9% of BV
volume.” Read on to find out how…
300-599 6% of BV
100-299 3% of BV

9
The BV to PV ratio currently applied by Amway is 3.43 to 1.
10
To begin sponsoring others, Amway requires that an IBO first accumulate at least $300 in Verified Customer Sales of their own.
11
Performance Bonuses are subject to complying with Rule 4.12 and Rule 4.13.
12
It is important to note, however, that Monthly Performance Bonuses are subject to compliance with Rules 4.12 and 4.13 of the Rules of Conduct.
For example, in order to earn a Monthly Performance Bonus on all Business Volume generated in a particular month, Rule 4.12 requires that at least
seventy percent of your Personal Volume be from customer sales rather than personal or family use, with a minimum of sixty percent of that volume
coming from Verified Customer Sales. If your total monthly Personal Volume does not meet these requirements, the Business Volume on which your
Monthly Performance Bonus is calculated will be prorated accordingly.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-3
THE PLAN | HOW YOU EARN INCOME
2. Differential on Personally Sponsored Volume
In addition to the Monthly Performance Bonus paid to you on your Personal Volume, as a sales group leader Amway also pays
you a bonus on the difference between your Performance Bonus level percentage and the Performance Bonus level percentage
of each of your frontline IBOs.13 In other words, when you build and train a successful sales group you also earn income equal
to the difference between the Performance Bonus level paid to each of your frontline IBOs and the Performance Bonus level
paid on your Personal Volume, i.e., the bonus percentage at which you qualify based on the Group PV/BV generated by your
sales group. Here’s how it works…

Performance Performance
IBO Group PV Personal BV Group BV Bonus Amount
Bonus Factor Bonus Level

You Personal Volume 1,300 12% x 450 ● $54

Frontline A Differential 450 12% - 6% = 6% x ● 1,350 + $81

Frontline B Differential 100 12% - 3% = 9% x ● 300 + $27

Frontline C Differential 600 12% - 9% = 3% x ● 1,800 + $54

Total Monthly Performance Bonus → $216

For those who choose to build their Amway business by developing one or more sales groups, however, shared commissions are
only the beginning of the available recognition and rewards. Read on to find out more…

3. Build your own sales groups There are two ways to qualify for the Leadership Bonus:

Amway believes the hard work, dedication and ability required • Sponsor a single group that qualifies at the SILVER
to build successful sales groups merits recognition and reward. PRODUCER (25% Performance Bonus) level and generate at
Thus, for those who choose to build their sales groups into a least 2,500 PV in volume outside of that SILVER PRODUCER
larger sales organization, the Amway Independent Business group during the same month.
Owner Compensation Plan offers additional monthly and
OR
annual bonuses, beginning with the monthly Leadership and
Depth Bonuses. • Sponsor two or more groups that qualify at the SILVER
PRODUCER (25% Performance Bonus) level during the same
A. Monthly leadership and depth bonuses month.
1. Monthly Leadership Bonus Qualify in either capacity to earn an additional bonus of up to
Because the Performance Bonus differential you receive 6% of the BV generated by your qualifying personally
diminishes as your personally sponsored sales groups progress sponsored sales groups.14
toward the SILVER PRODUCER (25% Performance Bonus) level,
2. Monthly Depth Bonus
the Amway Independent Business Owners Compensation Plan
also provides for monthly Leadership Bonus payments to The rewards available to you as leader of a sales organization
compensate you for the time and effort involved and provide do not stop with the monthly Leadership Bonus, however. As
additional incentive for you to develop SILVER PRODUCERS and you build your Amway business, you may also devote time and
above. effort to helping your frontline SILVER PRODUCERS and above
sponsor and develop downline SILVER PRODUCERS of their
own. To encourage and reward you for extending SILVER
PRODUCERS past your frontline to a second level of IBOs, the
Amway Independent Business Owners Compensation Plan also
provides for monthly Depth Bonus payments.

13
To be eligible to earn this Differential Bonus, IBOs below the PLATINUM level must have at least 50 PV from Verified Customer Sales or make
at least one such sale to each of ten different customers. See Rule 4.13.
14
For additional information on the monthly Leadership Bonus, including how this bonus is calculated, please see the Bonus Calculations
Addendum beginning at page A-6.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-4
THE PLAN | HOW YOU EARN INCOME
You qualify for the monthly Depth Bonus in each month where D. Diamond and Diamond Plus bonuses
both of the following conditions are met:
To reach DIAMOND status, sponsor six or more sales groups,
• You have sponsored three or more sales groups that qualify each of which qualify at the SILVER PRODUCER
at the SILVER PRODUCER (25% Performance Bonus) level. (25% Performance Bonus) level for at least six months of the
Performance Year.18 In addition to earning your DIAMOND pin
AND
as well as the annual EMERALD BONUS, you also continue to
• At least one of those groups has sponsored one or more qualify for participation in the EMERALD PROFIT SHARING
groups that qualify at the SILVER PRODUCER BONUS program.
(25% Performance Bonus) level during the same month.15
Through the Core Plan, you can also receive Diamond Bonus
Qualify by meeting these conditions to earn an additional points and payment on North American volume as well as the
bonus of up to 1% of the BV generated by your qualifying traceable volume from internationally sponsored qualified
personally sponsored sales groups starting with your second groups. This is known as the DIAMOND BONUS program. This
level and extending down to the second level below the next program is available to qualified DIAMOND and above leaders
downline IBO qualifying for the bonus.16 who personally or foster-register six or more North American
groups, each of which qualifies at the 25% Performance Bonus
B. Annual bonuses level for at least six months of a given fiscal year. Qualify with
seven or more North American groups to earn the DIAMOND
As you grow your sales organization you not only earn greater
PLUS BONUS as well.
recognition amongst your Amway peers but also add annual
bonuses to the monthly performance, leadership and depth At the EXECUTIVE DIAMOND level and above, you begin to earn
bonuses already discussed. These bonuses and the Qualification Credits toward each successive recognition level
accompanying recognition are designed to encourage and as well as one-time cash awards for your initial qualification at
reward you for building an Amway business that is sustainable each of 10 new achievement levels through FOUNDERS CROWN
and thus more likely to maintain the volume-based AMBASSADOR.19 A two-time cash award is also available when
performance, leadership and depth rewards earned through you consecutively requalify at each level the following
building successful sales groups. To that end, Amway sets aside Performance Year.
money each year to fund annual Emerald, Diamond and
Diamond Plus Bonuses.17 You can qualify for each of these
additional awards as you build your business from SILVER
PRODUCER to PLATINUM and beyond! Here’s how… Get started selling today…

C. Emerald and Emerald profit sharing bonuses As you have seen, the Amway Independent Business
Owner Compensation Plan is designed to allow you to
To reach EMERALD status, achieve PLATINUM status and
build your Amway business your way and in your time.
sponsor three or more sales groups, each of which qualify at
From simply selling high-quality products on your own
the SILVER PRODUCER (25% Performance Bonus) level for at
least six months of the Performance Year. to building and managing your own sales groups,
Amway has you covered with exciting recognition and
At the EMERALD level and above, you can – at Amway’s rewards every step of the way. So what are you waiting
discretion – receive Emerald Profit Sharing points and
for… get started selling today!
payment on North American volume, known as the EMERALD
PROFIT SHARING BONUS program. The program is available to
qualified EMERALD leaders who personally or foster-register
three or more North American groups, each of which qualifies
at the 25% Performance Bonus level for at least six months of
a given fiscal year.

15
Please note that internationally sponsored groups do not count toward eligibility for the Monthly Leadership or Depth Bonuses.
16
For additional information on the Monthly Depth Bonus, including how this bonus is calculated, please see the Bonus Calculations Addendum
beginning at page A-6.
17
The money set aside to fund the bonuses is distributed to eligible participants in accordance with the formula shown in the “Emerald Profit Sharing,
Emerald and Diamond Bonus Schedule” table, which can be found in the Money & Rewards Leader Income Guide available to IBOs at the Platinum
level and above at amway.com/money-and-rewards.
18
At least three of these six groups must be sponsored within North America.
19
The qualification requirements and rewards available at each consecutive level can be found in the Award and Recognition Qualifications Addendum
beginning at page A-11.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-5
ADDENDUM | BONUS CALCULATIONS
A. Performance Plus and Performance Elite Leadership Bonus Adjustment and Published LBA
Incentives As mentioned above, the monthly Leadership Bonus is intended
As part of our current Core Plus discretionary incentives to reward both you and your Sponsor for supporting your sales
program, you can earn these additional incentives by teams while growing your own Amway businesses and are thus
qualifying at the SILVER PRODUCER level or above in any given calculated from the bottom up based on the performance of
month. IBOs downline from you in the Amway Line of Sponsorship
(LOS). The Leadership Bonus Adjustment, or LBA, is the dollar
Performance Plus amount used in calculating how much of the bonus that rolls up
Earn 10,000 to 12,499 Ruby PV20 to receive an additional award to an IBO is applied to their bonus and how much rolls up to
of 2% on Ruby BV. their Sponsor.

Performance Elite The Published LBA, which is currently $1,543 and is calculated
by multiplying the minimum BV needed to qualify at the SILVER
Earn at least 12,500 Ruby PV to receive an additional award of PRODUCER level or above and the current Leadership Bonus
4% on Ruby BV. percentage of 6%, is the maximum adjustment used in
calculating monthly Leadership Bonuses.21 If the LBA within a
B. Ruby Bonus sales group is less than the Published LBA, it continues to roll up
The Ruby Bonus is part of the Core Plan and available to all and grow until reaching the Published LBA. At that point, the
IBOs. To earn this bonus, which is paid to qualified IBOs on top Published LBA becomes the minimum bonus amount that must
of the Performance Plus and Performance Elite Incentives, be rolled up to each successive IBO in a particular leg of the
generate at least 15,000 Ruby PV in one month and receive an Amway LOS.
additional 2% on Ruby BV for that month. Calculating the monthly Leadership Bonus starts with the IBO
furthest downline in your sales group that qualifies at the
C. Leadership Bonus SILVER PRODUCER level or above during the month. Of the BV
Monthly Leadership Bonuses are calculated from the bottom generated by that “Starter” IBO, 6% is rolled up to you.
up, never from the top down. This means that Leadership Whether you keep all, some or none of that amount depends on
Bonuses are based on the performance of all IBOs downline your BV relative to the amount rolled up to you and whether
from you in the Amway Line of Sponsorship (“LOS”), and must you qualify for the Leadership Bonus based on a single or two
also account for the Leadership Bonus Amway pays to upline or more qualifying groups.
sales group leaders, including your own Sponsor.
There are three factors that Amway applies to arrive at the
monthly Leadership Bonus for each eligible IBO:
Current Leadership Bonus Percentage
The current Leadership Bonus Percentage of 6% is applied to
the Group BV of eligible IBOs to determine the bonus amounts
to calculate the Leadership Bonus amounts.
Current BV/PV Ratio
This is the weighted average ratio of BV to PV currently applied
by the Amway Independent Business Owner Compensation
Plan. Although the ratio as of September 1, 2024 is 3.43 BV for
every 1 PV, for simplicity the examples used here apply a ratio
of 3 BV to 1 PV.

20
Ruby Volume, whether expressed in PV or BV, includes sales volume from sales groups downline from you in the Amway Line of Sponsorship that do not
have a PLATINUM, have not qualified at the SILVER PRODUCER (25% Performance Bonus) level or sit above a PLATINUM that has not qualified at the
SILVER PRODUCER (25% Performance Bonus) level in a given month.
21
Please note that, for simplicity, in the following examples, we are using a Published LBA of $1,350 – which is based on an average BV/PV ratio of 3 to 1 rather than
the current ratio of 3.43 to 1 on which the current Published LBA is based. Most of them reflect the 3:1 average ratio, but not all do so – in order to show a variety
of calculations.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-6
ADDENDUM | BONUS CALCULATIONS
Single Qualifying Sales Group
If 6% of your BV is equal to or exceeds the amount rolled up or the Published LBA, whichever is smaller, you keep the amount
rolled up to you and the bonus amount based on your BV is rolled up to your Sponsor.

IBO PV/BV Roll Up Roll Up Basis

With full Ruby Side Volume, your bonus amount of $1,368 (22,800 BV x .06)
You 7,600/22,800 $1,368 ↑
exceeds the LBA. You keep the amount rolled up to you. The remainder rolls up.
Does not qualify to participate but contributes $270
Frontline A 1,500/4,500 $1,710 ↑
(4,500 BV x .06) to the roll up.
Does not qualify to participate but contributes $90
Downline A1 500/1,500 $1,440 ↑
(1,500 BV x .06) to the roll up.
Starter in downline Sales Group A so the full bonus amount of $1,350
(6% x 18,000 BV = $1,080)
Downline A2 6,000/18,000 $270 ↑
$1,350 - $1,080 = $270 of the guarantee passes to Sponsor
$1,350 - $270 = $1,080 Leadership Bonus earned
Starter so the full bonus amount of $1,350
Downline A3 7,500/22,500 $1,350 ↑
(22,500 BV x .06) rolls up.

If 6% of your BV is less than the amount rolled up to you or the Published LBA, whichever is smaller, the bonus amount based on
your BV up to the Published LBA is added to the bonus amount rolled up to you. Then the LBA or Published LBA, whichever is
smaller, is subtracted therefrom with the difference being kept by you and the LBA or Published LBA amount being rolled up to
your Sponsor.

IBO PV/BV Roll Up Roll Up Basis

Your bonus amount of $450 (7,500 BV x .06) is less than the amount rolled up
You 2,500/7,500 $900 ↑
to you. You keep $810 ($1,710 + $450 - $1,350) and the rest rolls up.
Does not qualify to participate but contributes $302
Frontline A 1,500/4,500 $1,710 ↑
(5,040 BV x .06) to the roll up.
Does not qualify to participate but contributes $90
Downline A1 500/1,500 $1,440 ↑
(1,500 BV x .06 = $90) to the roll up.
Starter in downline Sales Group A so the full bonus amount of $1,350
Downline A2 7,500/22,500 $1,350 ↑
(22,500 BV x .06) rolls up.
Not included in bonus calculations because has not reached the 25%
Downline A3 6,000/18,000 $0
Performance Bonus level.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-7
ADDENDUM | BONUS CALCULATIONS
Multiple Qualifying Sales Groups
When you qualify for the Leadership Bonus based on having two or more downline sales groups qualifying at the SILVER
PRODUCER level or above and the LBA from at least one of those sales groups is equal to or exceeds the Published LBA, the full
Published LBA will be rolled upline to your Sponsor.

IBO PV/BV Roll Up Roll Up Basis

Your bonus amount of $21 (350 BV x .06) is less than the average rolled up to
You 110/350 $1,350 ↑ you. Your bonus is $1,191
($2,520 + $21 - $1,350) and the rest rolls up.
Starter in downline Sales Group A so the full bonus amount of $1,170
Frontline A 7,500/19,500 $1,170 ↑
(19,500 BV x .06) rolls up.
Starter in downline Sales Group B so the full bonus amount of $1,350
Frontline B 7,500/22,500 $1,350 ↑
(22,500 BV x .06) rolls up.

If your qualification for the bonus is based on two or more downline sales groups and the LBA from each group is less than the
Published LBA, your bonus amount will depend on the amount of your BV relative to the average of the amounts rolled up to you.
For example, if 6% of your BV is equal to or exceeds the average of the bonus amounts rolled up from your downline groups, you
keep the amounts rolled up to you and the bonus amount based on your BV is rolled up to your Sponsor.

IBO PV/BV Roll Up Roll Up Basis

Your bonus amount of $1,350 (22,500 BV x .06) equals the average rolled up to
You 7,500/22,500 $1,350 ↑
you. You keep the amount ($2,700) rolled up to you.
Starter in downline Sales Group A so the full bonus amount of $1,350
Frontline A 7,500/22,500 $1,350 ↑
(22,500 BV x .06) rolls up.
Starter in downline Sales Group B so the full bonus amount of $1,350
Frontline B 7,500/22,500 $1,350 ↑
(22,500 BV x .06) rolls up.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-8
ADDENDUM | BONUS CALCULATIONS
However, if 6% of your BV is less than the average of the bonus amounts rolled up from your downline groups, the amount based on
your BV is added to the total amount rolled up to you and the LBA (the average amount rolled up) is subtracted therefrom with the
difference being kept by you and the LBA amount rolled upline to your Sponsor.

IBO PV/BV Roll Up Roll Up Basis

Your bonus amount of $450 (7,500 BV x .06) is less than the average rolled up
You 2,500/7,500 $1,230 ↑
to you. Your bonus is $1,680 ($2,460 + $450 - $1,230) and the rest rolls up.
Starter in downline Sales Group A so the full bonus amount of $1,200
Frontline A 7,500/20,000 $1,200 ↑
(20,000 BV x .06) rolls up.
Starter in downline Sales Group B so the full bonus amount of $1,260
Frontline B 7,500/21,000 $1,260 ↑
(21,000 BV x .06) rolls up.

D. Depth Bonus Monthly Depth Bonus when Base Amount Equals or

Exceeds MDA
The monthly Depth Bonus is computed from the top down
starting with your second level qualified IBOs and extending When the base amount for the sales group equals or
downline until reaching the first level generating a Depth Bonus exceeds the MDA, the MDA becomes the guaranteed
to another IBO. The bonus is calculated separately for each of minimum amount that will be paid to your upline Depth
your qualified groups. Bonus recipient when you qualify for the bonus. If 1% of the
BV of the frontline leader of the group is equal to or exceeds
There are three factors that Amway applies to arrive at the the MDA, you keep the entire base amount from that group.
monthly Depth Bonus paid to each eligible IBO: However, if 1% of the BV of the frontline leader of the group
Current Depth Bonus Percentage is less than the MDA, the shortfall is taken from the base
amount of that group to fulfill the guaranteed minimum and
The current Depth Bonus percentage of 1% is applied to the you keep the balance.
Group BV of eligible IBOs to determine the base amount to
be used in calculating the bonus amount. Monthly Depth Bonus when Base Amount is Less than
MDA
Current BV/PV Ratio
When the base amount for the sales group is less than the
This is the same weighted average ratio of BV to PV used to MDA, the base amount from that group becomes the
calculate the monthly Leadership Bonus. guaranteed minimum amount that will be paid to your
Monthly Depth Bonus Adjustment upline Depth Bonus recipient when you qualify for the
monthly Depth Bonus. If 1% of the BV of the frontline leader
The Monthly Depth Bonus Adjustment, or MDA, is $257. It is of the group is equal to or exceeds this guaranteed
one-sixth of the current Published LBA and is calculated in minimum, you keep the entire base amount from that
the same fashion as the LBA but using 1% instead of 6%.22 group. If 1% of the BV of the frontline leader of the group is
The Monthly Depth Bonus is calculated separately for each of less than this guaranteed minimum, however, the shortfall is
your qualified sales groups and begins by determining the base taken from the base amount of that group to fulfill
amount for the bonus. The base amount, which is the total guaranteed minimum and you keep the balance.
monthly Depth Bonus generated by a qualified group prior to
application of the MDA, is 1% of the BV of all qualified downline
IBOs starting with your second level and extending down to the
second level below the next downline IBO qualified for the
bonus.

22
For simplicity, in the following examples, we are using an MDA of $225 – which is based on an average BV/PV ratio of 3 to 1 rather than the
current ratio of 3.43 to 1, on which the current MDA is based.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-9
ADDENDUM | BONUS CALCULATIONS

Example: Monthly Depth Bonus Scenario and Calculations

IBO PV/BV

You ●

The base amount of your MDB from Frontline B is the sum of the bonus
Frontline A 7,500/22,500
amounts from Downlines A-G ($928.50). You keep the entire amount because
Frontline B fulfilled the guaranteed minimum amount.
Frontline B 7,500/22,500
↓↓↓↓↓↓↓↓↓↓↓

Frontline C 7,500/22,500

Downline A 350/1,050 →→→→ 1,050 x .01 = $10.50 Your second level starts here.

Downline B 500/1,500 →→→→ 1,500 x .01 = $15

Downline C 100/300 →→→→ 300 x .01 = $3

Downline D 7,500/22,500 →→→→

Downline D is the next Depth Bonus
22,500 x .01 = $225
Qualifier.
Downline E 7,500/22,500 ↘

Downline F 7,500/22,500 →→→→ 22,500 x 3 x .01 = $675

Downlines E-G qualify Downline
D for MDB.
Downline G 7,500/22,500 ↗

Downline G-1 7,500/22,500 →→→→ Monthly Depth Bonus for Downline D is $225 (22,500 x .01)

Because your Frontlines A, B and C each fulfills the minimum guarantee to your upline Monthly
Depth Bonus qualifier by generating the MDA (22,500 x .01 = $225) in the above example, your
upline Depth Bonus qualifier also gets 1% of the BV from your frontline IBOs.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-10
ADDENDUM |
AWARD AND RECOGNITION
QUALIFICATIONS
The Amway Independent Business Owner Compensation Plan is Qualify as a PLATINUM if you achieve SILVER PRODUCER
designed to reward and recognize IBOs for achieving significant qualification for six months of the Performance Year. First-time
business milestones. Known as Pin Levels, IBOs who attain these qualifiers may use a rolling 12-month period to achieve six
milestones are eligible to receive a Monthly Performance Bonus qualified SILVER PRODUCER months, three of which must be
on qualified product sales at the 25% Performance Bonus level. consecutive. To requalify as PLATINUM, you must achieve at
Beginning at SILVER PRODUCER, these IBOs will also receive a least six qualified SILVER PRODUCER months within the
unique pin for each new Pin Level they attain. Additional Performance Year. Internationally registered groups may not be
bonuses, awards and recognition, as described in this used for SILVER PRODUCER qualification.
Addendum, are available to IBOs attaining PLATINUM status or
IBOs qualifying as PLATINUM for the first time – who in the
above. The requirements for qualifying for these additional
fiscal year of their first-time qualification have at least six
incentives are outlined below.
SILVER PRODUCER months (do not need to be consecutive) with
at least three legs at 6% or higher Performance Bonus level in
25% Sponsor
those same six months – are eligible to receive these additional
Qualify as a 25% SPONSOR if you register one or more North incentives:
American sales groups that reach the 25% Performance Bonus
• An invitation to New Platinum Conference, a two-day,
level.
expenses-paid business seminar with world-class training
and the opportunity to connect with Amway staff and
Silver Producer
executives. To receive an invitation, an IBO must also meet
Qualify as a SILVER PRODUCER each time you achieve any of the qualification requirements for New Platinum Conference.
the following:
Founders Platinum
• Generate Group PV of at least 7,500 PV.
Qualify as a FOUNDERS PLATINUM if you achieve SILVER
OR
PRODUCER qualification for all 12 months of the Performance
• Generate Group PV of at least 2,500 PV but less than 7,500 Year. You can also qualify by virtue of Volume Equivalency. If
PV and register or foster-register one North American sales you qualify at the 25% Performance Bonus level for 10 or 11
group that qualifies at the 25% Performance Bonus level. months of the fiscal year and generate at least 108,000 Total
PV, you are then considered qualified for all 12 months by virtue
OR of Volume Equivalency. This also qualifies as a 12-month group.
• Register or foster-register at least two North American sales Total PV includes all personal PV as well as PV from all downline
groups, each of which qualifies at the 25% Performance IBOs. Internationally registered groups may not be used for
Bonus level. Internationally registered groups may not be FOUNDERS PLATINUM qualification.
used for SILVER PRODUCER qualification.
Ruby and Founders Ruby
Gold Producer Qualify as a RUBY if you generate Ruby PV volume of at least
Qualify as a GOLD PRODUCER if you achieve SILVER 15,000 PV in a single month.
PRODUCER qualification for any three months of the Qualify as a FOUNDERS RUBY if you achieve RUBY qualification
Performance Year. First-time qualifiers may use a rolling for all 12 months of the Performance Year.
12-month period to achieve any three qualified months.
Internationally registered groups may not be used for GOLD IBOs qualifying as RUBY or FOUNDERS RUBY are eligible to
PRODUCER qualification. receive these additional incentives:
• A Ruby Bonus.
Platinum
Becoming a PLATINUM is an important milestone. The PLATINUM
is viewed as the leader of his or her own sales group(s). As a
PLATINUM, you train and motivate your group(s), teaching them
to assume leadership responsibilities in their own groups. In
short, becoming a PLATINUM means you are entering a new
phase of the Amway business. You continue doing the things
that made you a PLATINUM – retailing products and registering
IBOs to do the same – but now you are also a recognized leader
with new challenging and exciting responsibilities.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-11
ADDENDUM |
AWARD AND RECOGNITION
QUALIFICATIONS
Sapphire and Founders Sapphire IBOs qualifying as DIAMOND or FOUNDERS DIAMOND are
eligible to receive these additional incentives:
Qualify as a SAPPHIRE if you achieve one of the following for six
months: • The annual Emerald and Diamond Bonuses.*

• Generate Group PV of at least 2,500 PV, and register or • The annual Diamond Plus Bonus, provided you have seven or
foster-register two North American groups, each of which more qualified North American groups.*
qualifies at the 25% Performance Bonus level.
• Participation in the Emerald Profit Sharing Bonus.*
OR
Global Award Recognition Program
• Register or foster-register three or more North American
groups, each of which qualifies at the 25% Performance For IBOs achieving EXECUTIVE DIAMOND status and above, the
Bonus level. Global Award Recognition program provides a single path to
qualification based on the Global Award Recognition
Qualify as a FOUNDERS SAPPHIRE if you achieve SAPPHIRE Qualification Table set forth on Page A-13.
qualification for all 12 months of the Performance Year, or by
virtue of Volume Equivalency which is either 10 or 11 months of Executive Diamond, Founders Executive Diamond, Double
the Performance Year and also generate at least 252,000 Total Diamond, Founders Double Diamond, Triple Diamond and
PV. Founders Triple Diamond
Internationally registered groups may not be used for SAPPHIRE IBOs qualifying as EXECUTIVE DIAMOND through FOUNDERS
qualification. TRIPLE DIAMOND are eligible to receive these additional
incentives:
Emerald and Founders Emerald
• A one-time cash award for first-time qualification at each
Qualify as an EMERALD if you achieve PLATINUM qualification new Pin Level and a two-time cash award for consecutive
and register, internationally register or foster-register three or qualification.
more groups, each of which qualify at the 25% Performance
Bonus level for at least six months of the Performance Year. • Participation in the Emerald Profit Sharing Bonus.*

Qualify as a FOUNDERS EMERALD if you achieve EMERALD • The annual Emerald, Diamond and Diamond Plus Bonuses.*
qualification for all 12 months of the Performance Year. You can
also qualify by virtue of Volume Equivalency. Crown, Founders Crown, Crown Ambassador and Founders
Crown Ambassador
IBOs qualifying as EMERALD or FOUNDERS EMERALD are
eligible to receive these additional incentives: IBOs qualifying as CROWN through FOUNDERS CROWN
AMBASSADOR are eligible to receive these additional incentives:
• The annual Emerald Bonus.*
• A one-time cash award for first-time qualification at each
• Participation in the Emerald Profit Sharing Bonus.‡ new Pin level and a two-time cash award for consecutive
qualification.
Diamond and Founders Diamond
• Participation in the Emerald Profit Sharing Bonus.*
Qualify as a DIAMOND if you register, internationally register or
foster-register six or more sales groups (three must be North • The annual Emerald, Diamond and Diamond Plus Bonuses.*
American), each of which qualifies at the 25% Performance • Display of portrait in the “Hall of Achievement” at Amway
Bonus level for at least six months of the Performance Year. Headquarters.
Qualify as a FOUNDERS DIAMOND if you achieve Emerald
Bonus qualification and register, internationally register or
foster-register six or more sales groups, each of which qualifies
at the 25% Performance Bonus level for all 12 months of the
Performance Year; a group can also qualify by virtue of Volume
Equivalency.

‡
Internationally registered groups may be used for awards of EMERALD through FOUNDERS DIAMOND. They may not be used to qualify for
these bonuses. Participation is subject to meeting the requirements of each bonus.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-12
ADDENDUM |
AWARD AND RECOGNITION
QUALIFICATIONS
Global Award Recognition Qualification Criteria
Global Award Recognition recognizes IBOs using a combination of leadership development in width and depth. Width is measured
in sponsored Founders Platinum (FP) groups but does not include internationally sponsored groups¶ or groups without a Founders
Platinum. Depth is measured in Qualification Credits (QCs) according to the Qualification Credits schedule found in the Global
Award Recognition Qualification Table set forth below.
Multiple businesses, #1 and #2, must be at least Founders Platinum for a sales group to contribute up to one Qualification Credit. In
order for a Founders Platinum to contribute more than one Qualification Credit, the multiple business must be an Emerald Bonus
Recipient in the local market. Qualification Credits from Founders Platinums are limited to three per sales group. Award
qualification levels are determined through a combination of Founders Platinum sales groups and Qualification Credits according
to the Global Award Recognition Qualification Table below.

Global Award Recognition Qualification Table

Qualification Max QC per

Award Level FP Groups
Credits (QC) Group

Founders Crown Ambassador 14+ 100

Crown Ambassador 14+ 88

Up to 12 QC
Founders Council per Group
Founders Crown 12+ 76

Crown 12+ 64

Founders Triple Diamond 10+ 52

Triple Diamond 10+ 43

Up to 9 QC
Leader of Leaders per Group
Founders Double Diamond 8+ 34

Double Diamond 8+ 25

Founders Executive Diamond 6+ 16

New Global Up to 6 QC
Leader Executive Diamond 6+ 10
per Group

¶
Internationally registered groups may be used for awards of EMERALD through FOUNDERS DIAMOND. They may not be used to qualify for
these bonuses. Participation is subject to meeting the requirements of each bonus.

For the calendar year 2023, the average income from Amway for all U.S. registered IBOs at the Founders Platinum level and below was $841 before expenses.
See amway.com/income-disclosure for details and the most up-to-date information. Earnings depend on many factors, including customer base, business
experience, effort, dedication, and quality and performance of the downline sales team. The following percentages of IBOs achieved this incentive trip in
2023: New Platinum Conference 0.04459%; Achievers Invitational 0.49492%; Diamond Club 0.03177%; Diamond Select 0.01254%; NAGC 0.00920%.

A-13
ADDENDUM |
MANAGING YOUR AMWAY
INDEPENDENT BUSINESS
The cornerstone of an Amway Independent Business is IBOs who have registered with Amway on or after
the sale of products. Accordingly, in order to continue January 1, 2022 and have one month following the
their status as an Amway Independent Business Owner, month in which they register in which they generate
IBOs who have registered with Amway prior to January positive PV without generating any VCS must generate
1, 2022 and have one month in which they generate VCS equal to at least 60% of their PV in one of the next
positive Point Value (PV) without generating any Verified five consecutive months. If the IBO fails to meet this
Customer Sales (VCS) must generate VCS equal to at requirement, Amway will terminate their IBO contract
least 60% of their PV in one of the next five consecutive and provide a refund of any Amway Business Services &
months. If the IBO fails to meet this requirement, Amway Support or IBOAI Membership fees. Such IBOs may
will terminate their IBO contract and provide a refund of continue as a customer but will not be eligible to join
the Amway Business Services & Support and Amway’s Preferred Customer program.
Independent Business Owners Association International
Membership (IBOAI) fees. Amway will also provide such
IBO with the option to join its Preferred Customer
program for as long as eligibility to join the Preferred
Customer program remains open, and subject to the
Terms and Conditions of the Preferred Customer
program.

A-14
MANAGING
YOUR BUSINESS
SECTION CONTENTS
Product Information and Ordering B-1
AMWAYPROMISE ™
B-1
Returns B-1
Warranty & Service Program B-1
Product Liability Protection B-2
Procedures for Handling Complaints B-2
Sales Tax B-2
Business Licenses B-2
Zoning Ordinances B-2
Bookkeeping Basics B-2
Income Tax B-3
Insurance B-3
Training and Business Support Materials B-3
Responsibility Statement B-4
Succession Planning B-4
Partner Stores B-4

B
MANAGING YOUR BUSINESS
Product Information and Ordering Please note, only IBO purchases for personal, family or
household use may be returned under the Satisfaction
Amway.com is a great resource to help you manage
Guarantee. Anything purchased for IBO inventory is
your business. Log in to discover many great tools
returnable only under the Buy-Back Rule. The Buy-Back
and resources, shopping directories, detailed product
Rule applies if the IBO decides to leave the business,
information and much more.
or an exception is made because the IBO may be
Product availability and pricing are subject to change changing fulfillment methods or experiencing significant
without notice, though we generally communicate financial hardship. Exception returns are reviewed on
updates via amway.com. If any information appears a case-by-case basis pursuant to Amway’s exception
incorrect, you have questions or you need assistance returns policy. Returns staff members reserve the right,
placing an order, contact Customer Service. They’ll be in their sole discretion, to make the final determination
happy to help. on all exception return requests. Amway does not sell
inventory on consignment, so you should only order
AMWAYPROMISE what you reasonably intend to sell during the month.
At Amway, we know that our success is dependent on For more information on customer returns and an IBO’s
the success of our Independent Business Owners and obligations regarding Satisfaction Guarantee service,
the confidence people have in our products. Satisfaction see the Satisfaction Guarantee section above and Rule
will always be our goal and protection – our promise. 4.9 of the Rules of Conduct. For more information on IBO
returns, see Rules 4.10 and 4.11 of the Rules of Conduct.
As a Customer If your customer makes a purchase with
Specific limited guarantees apply to designated products. Atmosphere™, iCook™ and
Amway, they will get more than just quality products –
†

eSpring™ products must be returned within 120 days. Partner Store items must be
they get a promise that we will protect that purchase. If returned to the Partner Store from which they were purchased. This Satisfaction
Guarantee does not apply to IBO purchases for stock or inventory.
they are not satisfied with the product, they can
replace, exchange or return it within its Satisfaction Some items such as consumable food and beverage items are nonreturnable unless
defective upon receipt.
Guarantee time frame. Sales aids are returnable only by IBOs in the first 90 days after registration.
As a Business Owner We know that becoming an
Amway Independent Business Owner is no small thing. Warranty & Service Program
Since the start, people have been our priority – and Protection at point of sale and as product filters and
when you are an Amway Independent Business Owner, other components are replaced. Certain products have
we are committed to supporting you every step of the their own warranties, as noted on the product pages. In
way from humble beginnings to hard-earned success. addition, if any mechanical device should become
No cost, Start-up Guarantee Zero purchase defective within 180 days of purchase, Amway will, at
requirements and complimentary registration for the our option, repair, replace or issue a refund for such
first year to new Amway business owners. device. This warranty, which does not cover damage to
a product resulting from accident or misuse, provides
100% Satisfaction Guarantee Ensures satisfaction specific Legal rights. Other rights that vary from state to
with Amway products or business opportunity. If for any state may be available. Because our inventory is
reason you are not completely satisfied with our constantly being replenished with new stock, it is
products you may return them within 180 days of possible that a similar product of equal or higher value
purchase for an exchange or refund of the product price may be substituted at no additional cost.
and applicable tax.†
You may request a copy of the warranty prior to
Returns ordering. Warranty claims for Partner Store purchases
should be directed to the Partner Store.
Returns are easy! IBOs and Registered Customers who
place orders with – and receive product delivery directly Customer Service Assistance for all product and
from – Amway may return items using the information business opportunity related inquiries.
included with each order. You can find additional Email: [email protected]
information at amway.com by searching “return.” For Phone: 800-253-6500
any questions, call Customer Service at 800-253-6500. The Right to Know We promise to be transparent and
Amway Independent Business Owners are charged a forthcoming in all communications related to our service
processing fee of $5.95 for each invoice. However, any and protection offerings.
merchandise returned due to errors or damages upon For more information on returns, policies and
delivery will not incur a processing fee. procedures, go to amway.com/amway-promise and
click on the “View Details” link under the 100%
Satisfaction Guarantee section. For IBO obligations
regarding customer returns under the Satisfaction
Guarantee, see Rule 4.9 of the Rules of Conduct.

B-1
MANAGING YOUR BUSINESS
Product Liability Protection Business Licenses
Amway carries product liability insurance that protects Some state and local governments have laws and
both Amway and IBOs from damages that are caused ordinances that require business operators to register
by defective products. A product can be defective their business and sometimes pay an annual fee for the
either in the way it is manufactured or in the way it is privilege of doing business in that state or municipality.
designed. However, Amway’s insurance does not cover A couple of examples: the state of Nevada requires most
careless or negligent application, improper use of a businesses to obtain an annual State Business License
product or recommending that a product be used other and in California, the cities of San Jose and Los Angeles
than for its intended purpose. It is important to note, require a business license. You should confirm any state
however, that the Independent Business Owners Benefit or local obligations you have and request a copy of any
Association (IBOBA) plan (discussed further below) does such law or ordinance. Many ordinances do not apply to
not provide product liability coverage and should not be the Amway Independent Business Owner Compensation
confused with Amway’s product liability coverage. Plan, but in such instances where they do, you must
comply with the law.
Procedures for Handling Complaints
1. Ask the customer to explain how the damage Zoning Ordinances
occurred. Be sure to obtain the name of the product Some local governments have zoning ordinances that
and when the damage occurred, then write down the limit or prohibit the operation of a commercial business
name, address and phone number of the customer. from the home. While most such zoning ordinances do
2. Do not say that Amway will pay for the damage. not apply to the Amway Independent Business Owner
Simply state that Amway will contact them regarding Compensation Plan, you should confirm this with your
the damage. local government office. It is your responsibility to
comply with all zoning and other municipal requirements
3. Ask the customer to keep the damaged product. for operating your business.
4. Call or write us with the information and we will deal
directly with the customer. Call or write: Bookkeeping Basics
As a business owner, it is important to conduct your
Amway Product Liability Claims affairs in a professional and businesslike manner, which
7575 Fulton Street East includes keeping accurate books and records to track
Ada, MI 49355-0001 your productivity. Accurately recording business income
616-787-6896 and expenses and keeping original source documents
Email: [email protected] that substantiate both, will not only come in handy
during tax season, but will also help you meet your
Sales Tax
business objectives.
Selling products and services to your customers requires
For help managing your books, you can:
the collection and remittance of various state and local
• Purchase one of several affordable bookkeeping
sales taxes. Amway has made every effort to make
programs for your computer.
that as easy as possible, which is why we entered into
• Talk to your Sponsor – or with your upline Platinum –
collection agreements with all applicable state and
about their methods.
local taxing authorities. Those agreements allow Amway
• Consult with a qualified tax advisor, preferably a CPA,
to collect the required sales taxes at the point of sale
who has the training and experience to recommend an
and remit them to the proper taxing authorities on your
effective bookkeeping strategy for you.
behalf. As a result, you won’t need to obtain a sales tax
license for your business. Instead, you’ll operate under Implementing effective bookkeeping methods will
the sales tax license assigned to Amway in each state, allow you to devote more attention and energy toward
county and municipality. building your business.
For sales tax-related questions, please call Customer
Service at 800-253-6500, or visit amway.com/business-
center/tax-information.

B-2
MANAGING YOUR BUSINESS
Income Tax Training and Business Support Materials
Like any for-profit business owner, your income is Education, training and motivation are critically
subject to tax and must be reported on your personal important to building a successful independent business.
income tax returns. Business income and expenses To educate you in the business and assist with your
must be summarized separately on IRS Form 1040, for own training and motivation, as well as teaching how
which you will most likely use Schedule C. Additionally, to train and motivate others, Amway prepares various
you may be required to issue Form 1099-MISC to IBOs merchandising aids and support services. All materials
downline from you. If the aggregate amount of your produced and distributed by Amway are subject to its
purchases from Amway is $5,000 or more in a calendar Satisfaction Guarantee Rule 4.9, Buy-Back Rule 4.10 and
year and/or if your Amway income is $600 or more, Other Returns Rule 4.11.
Amway will be required by law to issue a Form 1099-
Some IBOs independently produce or procure and
MISC to you. Your Amway income might also include
distribute their own Business Support Materials (BSM),
reportable items like amenities, activities, gift cards, etc.
as defined in Rule 7 of the Rules of Conduct. These may
Please note, Amway must have a valid taxpayer include business aids, books, magazines, flip charts
identification number on file for your business in order and other printed material, online literature, internet
to properly report bonus payments. Because you have websites, advertising, audio, video, digital media,
the opportunity to very quickly earn income through meetings and educational seminars. Some IBOs earn
Performance Bonuses, you should confirm that Amway additional income from the sale of BSM apart from their
has your proper Social Security Number, or other earnings as IBOs.
taxpayer identification number, especially if you did
You may decide that these materials can help you build
not provide it at registration. Failure to provide Amway
your business, or not. It’s your decision. No one may
with this information may result in your bonus payments
pressure you to buy these materials. Your own good
being subject to backup withholding as required by the
judgment should guide you in deciding what is best
Internal Revenue Code.
for your independent business, considering among
Contact a qualified tax advisor, preferably a CPA, other things the cost, benefit and time commitment
for guidance. associated with the purchase and use of these
materials. Amway does not earn any revenue from the
Insurance purchase of BSM from IBOs or third parties.
When you register as an IBO, you become a member of Rule 7 of the Rules of Conduct requires that IBOs who
the Independent Business Owners Benefits Association sell BSM have certain minimum return and refund
(IBOBA), a nonprofit association that promotes the policies. See Rule 7 for further details. All IBOs are free to
interests of its members to use the power of group purchase or cease purchasing BSM at any time.
buying. Benefits and services, such as travel programs,
include automobile rental, hotel discounts, insurance
and non-insurance health care discounts as well as
providing educational information and forums.
One of the benefits of the IBOBA membership is valuable
personal and family insurance plans which IBOs may
obtain at favorable group rates. USI Affinity®*, for an
additional fee, administers various insurance plans
designed to serve each IBO’s personal and family
insurance needs. These include health, dental, vision,
life, disability, accidental, auto, homeowners and even
pet insurance. Other valuable offers from USI Affinity
include a free health care savings discount card that
entitles you to discounts from participating providers
throughout the U.S. For more information about personal
and family insurance options, log in to amway.com and
view Partner Stores or call USI Affinity at 800-254-2327.

USI Affinity is a registered trademark of USI Insurance Services LLC.

*

B-3
MANAGING YOUR BUSINESS
Responsibility Statement Succession Planning
When selling food supplement and health and fitness As an IBO builds his or her business, consideration
products, there are many state and federal laws that should be given to succession planning, including how
must be followed. an IBO may want to transfer his or her business
pursuant to the IBO contract. But succession planning is
It’s very important to only use product claims found
not limited to how a business may be transferred
in authorized literature. Improper claim usage from
through contracts or estate planning devices. Additional
unauthorized literature could misrepresent food
considerations include how you may want to add your
supplements as drugs or medications, leading to
children or others to your business during your lifetime
violations of food supplement regulations.
to maintain the continuity of your business. These are
When it comes to nutrition and supplement products, let topics you may want to discuss with your tax consultant
your customers select the product(s) best suited for his and attorney.
or her needs. Unless you are a medical doctor, you
Amway is here to guide you through this process. For
shouldn’t diagnose health complaints or recommend
more information on succession planning, contact
remedies for health conditions.
Business Conduct and Rules.
Customers should consult with a physician before
Partner Stores
starting a significant lifestyle-change program,
especially an intensive weight-loss program or exercise Partner Stores bring the convenience of shopping
program. If your customers experience pain or national retailers all in one secure place, through the
discomfort while following a lifestyle-change program, Amway website. Each participating individual Partner
they should discontinue the program and check with Store site provides its own shopping cart, processes
their physician. your order, ships it and handles any customer service
inquiries.
Do not use testimonials from customers who report
health improvements after using Nutrilite supplements. Explore Partner Stores at amway.com.
In situations where customers achieve weight-loss or
exercise results claimed from using Nutrilite products,
you may use testimonials only if you make sure you
have documentary proof to support the claims at the
time you make them.

B-4
RULES OF CONDUCT
SECTION CONTENTS 2.10. Marks C-3
2.11. Prospect C-3
1. Introduction C-2 2.12 Quality Assurance Standards for Content
1.1. Contractual Relationship C-2 (“QAS Content Standards”) C-3
1.2. Choice of Law C-2 2.13. Region C-3
1.3. Severability C-2 2.14. Use C-3
2. Definitions C-2 3. Becoming an IBO C-3
2.1. Amway IBO Compensation Plan (or Plan) C-2 3.1. Registration Agreement C-3
2.2. Copyrighted Works C-2 3.2. Acceptance or Rejection of IBO Registration
2.3. Customer C-2 Agreement C-3
2.4 Earnings Claim C-2 3.3. Legal Entities as IBOs C-3
2.5. Independent Business (IB) C-2 3.4. Spouses as IBOs C-3
2.6. Independent Business Owner (IBO) C-2 3.5. Minors as Independent Business Owners C-3
2.7. IBOAI Board C-2 3.6. Term C-3
2.8. Line of Sponsorship (LOS) C-2 3.7. Annual Renewal C-4
2.9. LOS Information C-3 3.8. Late Renewal C-4
3.9. IBO Contract Termination C-4
3.10. Death and Inheritance C-4
3.11. Payment Vendor C-4

C
 RULES OF CONDUCT
4. Responsibilities and Obligations C-4 6. Preservation of the Line of Sponsorship C-8
4.1. Duty of Good Faith C-4 6.1. Confidentiality of the LOS C-8
4.2. Cross-Group Buying or Selling C-4 6.2. Non-Competition and Non-Solicitation C-8–C-9
4.3. Unsolicited Electronic Messages C-5 6.3. Other Business Activities C-9
4.4. Advertising C-5 6.4. Approval of Certain IBO Contract Changes C-10
4.5. Retail Establishments C-5 6.5. Individual Transfers C-10
4.6. Statements About Products, Services and the 6.6. Group Transfers C-10
Opportunity C-5 6.7. Six-Month Inactivity C-10
4.7. Repackaging C-5 6.8. Sale of an IB C-10–C-11
4.8. Written Sales Receipt C-5 6.9. Mergers and Combinations of IBs C-11
4.9. Satisfaction Guarantee C-5 6.10. Two IBs Rule C-11
4.10. Buy-Back Rule C-5 6.11. Parent-Child Integration C-11
4.11. Other Returns C-6 6.12. Divorce, Separation or Other Dissolution of a
4.12. Seventy Percent Rule C-6 Non-Spousal Partnership or Legal Entity C-12
4.13. Customer Volume C-6 6.13. Disposition of an IB C-13
4.14. Compliance with Applicable Laws, 7. Business Support Materials C-13
Regulations and Codes C-6 7.1. General Rules on BSM C-13– C-14
4.15. Amway Business Environment C-6 7.2. Sale, Promotion and Distribution of BSM with
4.16. IBO Relationship C-6 Authorization from an Approved Provider C-14
4.17. Franchises and Territories C-6 8. Marks and Copyrighted Works C-14
4.18. Enticement to Change Position in the Line 8.1. Use of Marks and Copyrighted Works C-14–C-15
of Sponsorship C-6 9. Complying with the IBO Contract
4.19. Exporting and Importing C-6 (Remedies for Breach) C-15
4.20.Activity Outside the Region or Activity Outside 9.1. Amway’s Rights and Responsibilities C-15
the Market Where the IBO Is Registered C-6 9.2. IBO Rights and Responsibilities C-15
4.21. Sound Business Practices C-7 9.3. Duty to Cooperate C-15
4.22.Fund-raising C-7 9.4. Non-Waiver C-15
4.23. IBO Plan Manipulation C-7 10. Modification of the IBO Contract C-15–C-16
4.24.Personal/Business Information Update C-7 11. Dispute Resolution Procedures C-16
4.25. Amway Contact C-7 11.1. Amendment Only with IBOAI Consent C-16
5. Presentation of the Plan, Sponsorship 11.2. Temporary or Preliminary Injunctive Relief C-16
and Support C-7 11.3. Confidentiality C-16
5.1. Presentation of the Plan C-7 11.4. Non-Binding Mediation C-16–C-18
5.2. Describing the Plan C-7 11.5. Binding Arbitration C-18–C-19
5.3. Positioning Amway and Approved Providers C-7
5.4. Earnings Claims C-7
5.5. Required Disclosures C-7
5.6. Prohibited Sponsoring Practices C-7
5.7. Sponsor’s Responsibilities C-7
BUSINESS CONDUCT AND RULES
DEPARTMENT CONTACT INFO
5.8. Platinum Responsibilities C-7
Email [email protected]
5.9. Prohibited Support Practices C-7
Phone 616-787-6712
Fax 616-787-7896

A C-1
RULES OF CONDUCT
1. Introduction 1.2. Choice of Law: Except to the extent that the
Federal Arbitration Act applies to Rule 11, the formation,
The Rules of Conduct (“Rules”) form an important part
construction, interpretation and enforceability of the
of the contract between Amway and the IBO (the “IBO
IBO contract and all claims arising from or relating to
contract”). The Rules have been carefully developed in
the IBO contract shall be governed by Michigan law,
consultation with the IBOAI Board and have been
without giving effect to any choice of law or conflicts of
implemented following notice to IBOs and review of their
law rules or provisions (whether of the state of Michigan
comments.
or any other jurisdiction) that would cause the
IBOs own and operate their own Independent Businesses application of the laws of any jurisdiction other than the
(“IBs”). Amway recognizes the value of the contributions state of Michigan. The place where the IBO contract is
that IBOs who have achieved business goals can make made is Michigan.
to the development of other IBOs whom they sponsor
1.3. Severability: If an arbitrator or court of competent
and support under the Rules. As IBOs develop into
jurisdiction determines any portion of the Rules of
established leaders, they play an increasingly important
Conduct is unenforceable in any respect, then it shall
role in mentoring, teaching and training other IBOs
enforce the rest of the Rules of Conduct to the fullest
about the Amway business. Among other things, the
extent permitted by law without affecting the
Rules are designed to ensure that all IBOs have the
enforceability of all remaining Rules of Conduct.
support that they need to continue to develop their IBs
with Amway. 2. Definitions
Under the IBO contract, IBOs receive substantial 2.1. Amway IBO Compensation Plan (or Plan): The
benefits, including: the right to purchase products business arrangement through which IBOs receive
through Amway at IBO cost for resale; the right to certain income or other compensation as described in
sponsor others to become IBOs and sell products offered Section A of the Business Reference Guide.
at amway.com; the right to qualify for bonuses under
the Amway IBO Compensation Plan (“Plan”); use of 2.2. Copyrighted Works: Works protectable by
Amway’s intellectual property in accordance with the copyrights that are owned by, created by or licensed to
Rules; and a variety of support for IBOs and their Amway.
Customers. As part of its commitment to support the 2.3. Customer: A non-IBO who is an end user of
opportunity made available to IBOs, Amway invests products and services offered through or by Amway.
substantial resources in goodwill, in the Line of
Sponsorship (“LOS”) and in LOS Information to provide 2.4. Earnings Claim: Means any express or implied
Amway and IBOs with a competitive advantage. All IBOs representation that conveys actual or potential earnings
and Amway share a competitive business interest in that an IBO has earned or may earn, or a lifestyle that
maintaining and protecting these assets and interests. has been or may be achieved through the Amway
The Rules provide important safeguards for IBOs and business.
Amway in this regard, as well as contractual rights and 2.5. Independent Business (IB): An Amway
obligations. independent business operated by an IBO(s) pursuant to
1.1. Contractual Relationship: Amway Corp. the IBO contract.
(“Amway”) has a contract with each IBO that includes all 2.6. Independent Business Owner (IBO): An
of the terms in the IBO Registration Agreement form individual(s) or entity operating an IB pursuant to the
executed by the IBO, the renewal form(s) executed or IBO contract.
authorized by the IBO, the Plan and the Rules in effect at
the time the IBO executed the IBO Registration 2.7. IBOAI Board: Refers to the Independent Business
Agreement and any Entity Agreement for Independent Owners Association International, Inc. Board of
Business Owners (IBOs) (“Entity Agreement”) or Directors.
modifications to the Plan or Rules that become effective 2.8. Line of Sponsorship (LOS): The structural
during the term of the contract (the “IBO contract”). The arrangement of IBOs established by the contractual
current version of the Plan and Rules can be found at relationship that each IBO has with Amway.
amway.com.
As part of the IBO contract, IBOs have an obligation to
comply with the Rules.

C-2
RULES OF CONDUCT
2.9. LOS Information: Includes all information that 3.2. Acceptance or Rejection of IBO Registration
discloses or relates to all or part of the Line of Agreement: Amway reserves the right to accept or
Sponsorship, including but not limited to IBO numbers reject any IBO Registration Agreement. A registration
and other IBO business identification data, IBO personal shall be considered accepted by Amway when it receives
contact information, IBO business performance a completed and signed IBO Registration Agreement in
information and all information generated or derived accordance with Rule 3.1, its contents are verified with
therefrom, in its past, present or future forms. Amway’s IBO records database and the registration
does not violate any Rule of Conduct. Pending receipt of
2.10. Marks: The trademarks, service marks, trade dress
a completed, signed IBO Registration Agreement,
and trade names adopted or used by Amway and/or
Amway may temporarily authorize an IBO to conduct
otherwise the subject of pending or existing trademark
business subject to the Rules of Conduct for up to 90
rights owned by or licensed to Amway, regardless of
days.
whether the trademarks, service marks, trade dress or
trade names are the subject of trademark applications 3.3. Legal Entities as IBOs: IBs shall be formed initially
or registrations. by and in the name(s) of the individual applicant(s).
After receiving an IBO number, an IBO who wishes to
2.11. Prospect: Means potential customers and potential
operate his/her IB as a corporation, limited liability
IBOs.
company (LLC), formal partnership, limited partnership,
2.12. Quality Assurance Standards for Content limited liability partnership (LLP) or trust must complete
(“QAS Content Standards”): Means the document that the appropriate Entity Agreement for Independent
sets forth Amway’s Quality Assurance Standards for Business Owners (IBOs) and submit it to Amway, which
Content, which prescribes the requirements for may accept or reject it. Existing IBOs as of September
IBOs for messaging and content creation. The 2012 that are operating through a Legal entity under an
current QAS Content Standards may be found at existing Entity Agreement approved by Amway may
amway.com/QAS. continue to operate under that agreement, but the IBO
and entity must sign the currently applicable Entity
2.13. Region: The United States, Canada, Dominican
Agreement upon request or in the event of a change in
Republic, Puerto Rico, U.S. Virgin Islands, Guam,
ownership or control in the entity.
Jamaica, the Pacific Islands of American Samoa,
Federated States of Micronesia, Marshall Islands, 3.4. Spouses as IBOs: If both spouses wish to become
Northern Mariana Islands, Palau, Wake Island and all IBOs, they must register together as a single IB. Spouses
authorized Atlantic and Caribbean islands operating may not sponsor each other. If one spouse is already an
under the Plan. IBO, the other spouse, upon electing to become an IBO,
must join his or her spouse’s IB. An IBO will be held
2.14. Use: (a) with reference to Marks, directly or
accountable for the actions of a spouse, whether or not
indirectly placing, affixing or displaying one or more
the spouse is an IBO, so far as the Rules of Conduct are
Marks on or in connection with goods or services, in a
concerned.
manner that tends to create the impression of an
affiliation, connection or association between Amway 3.5. Minors as Independent Business Owners: Minors
and the IBO or Approved Provider; and (b) with reference who are at least 16 years of age may become IBOs only
to Copyrighted Works, to reproduce, distribute and/or for the single purpose of merchandising products and
display copies of the Copyrighted Works, in whole or in services offered through or by Amway. A minor who
part, including by means of digital audio transmissions desires to become an IBO must be added as a co-owner
and to create any derivative works. to his or her parent’s or guardian’s IB. Minors cannot
serve in the role as Business Manager in any IB.
3. Becoming an IBO
3.6. Term: The term of the IBO contract shall expire at
3.1. Registration Agreement: To become an IBO, an the end of each calendar year, with the exception of
applicant must be 18 years of age and complete and initial registrations accepted by Amway between
sign the IBO Registration Agreement in accordance with September 1 and December 31, in which case such initial
the procedures on the Amway website. term shall expire at the end of the subsequent calendar
year.

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RULES OF CONDUCT
3.7. Annual Renewal: In order to renew the IBO Entity Agreement reflecting the proposed changes
contract, an IBO must annually file a request to renew and any proposed changes in the ownership or
the IBO contract by December 31 of the year preceding control of the entity require the express approval of
the year for which the IBO is renewing and must pay the Amway in writing.
required annual business renewal cost: (a) on or after
3.10.3. In cases where an IBO disposes of an IB in a
January 1 of the year following the IBO’s first contract
will, Amway will recognize the terms of the transfer,
year, or (b) at the time of such request for renewal by
provided the beneficiary is an IBO who is in
IBOs in their second contract year or any subsequent
compliance with the Rules.
contract year. Amway reserves the right to reject any
renewal request, or revoke any IBO’s Renewal 3.10.4. If there is no qualified IBO in a position to
Agreement, if the IBO is not in compliance with all operate an IB due to probate or other court
provisions of the IBO contract. An annual Renewal procedures, Amway will have the option of entering
Agreement may be completed and signed in one of the into a servicing agreement with another IBO,
following ways: (i) an IBO may complete, sign and preferably upline in the LOS, to manage the IB until
submit an electronic version of the Renewal Agreement the proceedings are complete.
and pay the required annual business renewal cost in
3.11. Payment Vendor: Amway may use a third-party
accordance with the procedures on the Amway website;
vendor to pay IBOs bonuses and/or other monies earned
or (ii) after an IBO’s first contract year, the IBO may sign
by IBOs under the Plan. IBOs must (a) register with any
an Automatic Renewal Agreement with Amway. Unless
such vendor of Amway’s choosing and continue to be
they instruct Amway otherwise, IBOs who have reached
registered with any such vendor of Amway’s choosing,
the level of Silver Producer or above who are not in their
which is subject to change, as long as they remain IBOs,
first contract year will be automatically renewed in order
including agreeing to the vendor’s currently applicable
to avoid an inadvertent interruption of their business,
terms and conditions, if any, and (b) provide any such
and the renewal cost will be collected by Amway as
vendor with all information it requires, which may
described above.
include but is not limited to a primary email address and
3.8. Late Renewal: In the event that Amway accepts an tax identification number, to allow the vendor to make
IBO’s Renewal Agreement that was not filed in payments to IBOs on behalf of Amway. The current
compliance with Rule 3.7, Amway is not required to vendor’s registration and other requirements for making
restore that IBO’s sponsoring relationship(s) with payments to IBOs can be found at amway.com/
downline IBOs. paymentvendor.
3.9. IBO Contract Termination: An IBO may terminate 4. Responsibilities and Obligations
his or her IBO contract at any time prior to expiration by
written communication to the Amway Business Conduct 4.1. Duty of Good Faith: Under the terms of the IBO
and Rules Department. A person who terminates his or contract, Amway and all IBOs agree to perform their
her IBO contract may immediately become a Customer. obligations in accordance with the duty of good faith
and fair dealing. An IBO will be held accountable for the
3.10. Death and Inheritance: An IB can be passed on to actions of a partner, family member or third party
a deceased IBO’s spouse, heirs or other beneficiary. acting or purporting to act on behalf of the IBO or IB, so
3.10.1. In cases where the IB is owned jointly, such as far as the Rules of Conduct are concerned. An IBO shall
between spouses or in a partnership and one spouse not aid and abet another IBO to violate the Rules of
or partner dies, unless they have previously Conduct. IBOs shall not conduct any activity that could
arranged otherwise, Amway will recognize the jeopardize the reputation of Amway or IBOs.
surviving spouse or partner(s) as the owner(s) of the 4.2. Cross-Group Buying or Selling: No IBO shall
IB. The survivor(s) must forward a certified copy of engage in cross-group buying or selling. Cross-group
the death certificate in order for Amway to change buying and selling occurs when an IBO sells products
its records. and services offered through or by Amway to another
3.10.2. In cases where the IB is operated as an entity IBO he or she did not personally sponsor, except (a) as
under Rule 3.3 and one of the owners of the entity may be permitted under a servicing agreement, or (b)
dies, the entity will continue to operate the IB, when an IBO purchases from or through his or her upline
provided the entity remains in compliance with Rule Platinum products and services offered through or by
3.3 and the successor of the deceased owner is an Amway.
IBO in full compliance with the Rules. The entity shall
notify Amway of the change in ownership or control
of the entity by submitting the currently applicable

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RULES OF CONDUCT
4.3. Unsolicited Electronic Messages: No IBO shall 4.7. Repackaging: Products offered through or by
send, transmit or otherwise communicate any Amway are to be sold only in their original packages and
unsolicited electronic messages relating to Amway, its in their original formulations. IBOs may not repackage
business opportunity, products or services to persons products or otherwise change or alter any of the
with whom the IBO does not have a pre-existing packaging, labels or materials of products offered
personal or business relationship. (This includes, but is through or by Amway.
not limited to, sending messages through newsgroups,
4.8. Written Sales Receipt: An IBO who takes and/or
purchased mailing lists, “safe lists” or other lists of
delivers an order in person for over $25 shall deliver to
individuals or entities with whom or which the IBO does
the Customer at the time of sale a written and dated
not have a pre-existing relationship.)
order or receipt which shall: (a) describe the product(s)
4.4. Advertising: IBOs may advertise only with the sold; (b) state the price charged; (c) give the name,
express approval of Amway in writing. address and telephone number of the selling IBO; and
(d) include Amway’s Satisfaction Guarantee.
4.5. Retail Establishments: An IBO who works in or
owns a retail establishment must operate his or her IB 4.9. Satisfaction Guarantee: When a Customer
separate and apart from the retail establishment. No requests Satisfaction Guarantee service within the
IBO shall permit products, services or literature offered stated guarantee period for a product purchased
through or by Amway to be sold or displayed in retail directly from an IBO, the IBO shall immediately offer the
establishments, including, but not limited to, places like individual his or her choice of: (a) a full refund; (b) an
schools, fairs, kiosks, vending machines, unauthorized exchange for a like product; or (c) full credit toward the
internet websites, military stores, salons or professional purchase of another product. If a product is shipped
offices. directly to the Customer by Amway, the Customer
should follow the return instructions on the packing slip.
4.5.1. Event Sales: The sale of authorized product
In the case of IBO purchases, only those that the IBO
categories by IBOs are permitted only at temporary
makes for personal, family or household use may be
(no more than 10 days) events whose themes are
returned under the Satisfaction Guarantee. Whenever
consistent with the products being sold and only
an IBO requests Satisfaction Guarantee service within
with the express approval of Amway in writing. To
the stated guarantee period, an IBO has the choice of a:
allow Amway sufficient time to grant approval, the
(a) full refund; (b) exchange for the same or like product;
IBO must submit a completed Event Sales
or (c) full credit toward the purchase of another product.
Application Form to Amway 30 days prior to the
event. A copy of the Event Sales Application form The current Satisfaction Guarantee can be found at
may be obtained at amway.com. amway.com/amwaypromise, then click on 100%
Satisfaction Guarantee.
4.5.2. Display Booths: The display only (no sales)
of products and approved literature by IBOs is 4.10. Buy-Back Rule: IBOs leaving the Amway business
permitted only at temporary (no more than 10 days) have a right to return Amway products. A departing IBO
events and only with the express approval of Amway may choose to sell inventory of currently marketable
in writing. To allow Amway sufficient time to grant Amway products to an upline IBO at a mutually
approval, the IBO must submit a completed Display agreeable price. If a departing IBO is unable to secure
Booth Application Form to Amway 30 days prior to the buy-back of inventory through an upline IBO,
the event. A copy of the Display Booth Application Amway shall repurchase the departing IBO’s unused,
form may be obtained at amway.com. currently marketable Amway products subject to the
following: (a) Amway will make all appropriate
4.6. Statements About Products, Services and the
Performance Bonus differential and Leadership Bonus
Opportunity: An IBO shall make only truthful and
charge-backs to those IBs who originally received them;
accurate statements about the business opportunity,
and (b) Amway will charge freight costs incurred by the
products and services offered through or by Amway.
IBO leaving the Amway business if the net
IBOs shall not make any claims about products or
reimbursement includes same and a service charge
services offered through or by Amway other than those
equal to 10% of the IBO cost of the products being
claims found in Amway‑authorized literature and
returned to cover handling and processing charges.
at amway.com. All statements about products or
services offered through or by Amway must comply with
the QAS Content Standards.

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RULES OF CONDUCT
4.11. Other Returns: An IBO who is not leaving the 4.15. Amway Business Environment: Amway is a
Amway business may ask Amway to buy back Amway professional, ethical and equal opportunity company.
products where he or she may be experiencing financial IBOs must not discriminate on the basis of race,
hardship or other exceptional circumstances as ethnicity, gender, lifestyle, disability, religion or political
explained by the IBO. Return requests are reviewed on a affiliation. IBOs must not make demeaning or
case-by-case basis. Amway reserves the right to disparaging statements or use derogatory slurs toward
repurchase only unused, currently marketable Amway others in any Amway-related setting.
products subject to Rule 4.9.
4.16. IBO Relationship: IBOs are independent
4.12. Seventy Percent Rule: In order for an IBO to contractors. IBOs shall not state or imply that they are
obtain the right to earn a Performance Bonus or receive employees, agents or Legal representatives of Amway,
recognition due on all the products the IBO purchases, its affiliates and/or other IBOs. IBOs shall not represent
an average of 70% of the IBO’s personal Business Volume or imply, either directly or indirectly, that registration
(BV) per month must come from products sold at a creates an employment relationship between themselves
commercially reasonable price; if the IBO fails to meet and the IBOs whom they have sponsored or who have
this requirement, then such IBO may be paid that sponsored them.
percentage of Performance Bonus measured by the
4.17. Franchises and Territories: IBOs shall not
amount of products that can be shown to have been
represent to anyone that there are franchises or
actually sold in a particular month, rather than the
exclusive territories available under the Plan.
amount of products purchased and recognized
accordingly. For purposes of this Rule, a reasonable 4.18. Enticement to Change Position in the Line of
amount of products used by IBOs in the ordinary course Sponsorship: Under no circumstances shall an IBO,
of operating their Amway businesses can contribute to directly or indirectly, solicit, assist, attempt to induce or
the 70% average. encourage another IBO to request a change in position
in the Line of Sponsorship.
4.13. Customer Volume: In order to obtain the right to
earn a Performance Bonus on downline volume during a 4.19. Exporting and Importing: IBOs shall not export or
given month, an IBO must: (a) make not less than one import products or services offered through or by
sale to each of 10 different Customers; or (b) have at Amway, or sell to others they have reason to believe will
least 50 PV of sales to any number of Customers. For import or export such products or services, to or from
purposes of obtaining the rights referred to in this Rule, the United States or its possessions or territories or any
sales must be to Customers who either: (a) place an other country, regardless of whether or not Amway or its
order directly with Amway; or (b) place an order with the affiliates have established operations or are doing
IBO that the IBO reports to Amway through a system business in that country. Nothing in this Rule prohibits
established by Amway for tracking such sales. It is the IBOs from personal use or resale within the Region in
obligation of the IBO to ensure compliance with the accordance with the IBO contract.
official deadlines and requirements communicated by
4.20. Activity Outside the Region or Activity Outside
Amway, in order to qualify for Performance Bonus and
the Market Where the IBO Is Registered: IBOs who
other awards, rewards and recognition. This Rule shall
engage, directly or indirectly, in any activity related to
apply unless the IBO is currently a qualified Platinum or
the Amway business in a jurisdiction outside of the
above.
Region must do so in a manner that complies with the
4.14. Compliance with Applicable Laws, Regulations letter and spirit of the applicable laws, regulations, rules,
and Codes: IBOs shall comply with all laws, regulations policies and procedures of the Amway affiliate in that
and codes that apply to the operation of their IB jurisdiction, regardless of whether they are registered
wherever said business may be conducted. IBOs shall IBOs in that jurisdiction. Failure to do so shall be a
not directly or indirectly encourage, or aid and abet any breach of the IBO contract.
person to violate any laws, regulations, codes or term of
the IBO contract. No IBO may operate any illegal or
unlawful business enterprise, or engage or participate in
any deceptive, illegal or unlawful trade practices.

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RULES OF CONDUCT
4.21. Sound Business Practices: IBOs shall operate 5.3. Positioning Amway and Approved Providers:
their IB in a financially responsible and solvent manner. IBOs must position the roles of Amway and Approved
Amway reserves the right to offset bonus payments for Providers in a manner that is truthful, accurate and
amounts an IBO owes to Amway. If an IBO or any not misleading, and must comply with the QAS
member partner in his or her IB files a petition for Content Standards when doing so.
bankruptcy or has bankruptcy proceedings commenced
5.4. Earnings Claims: Earnings Claims must comply
against him or her, or has any assets seized by court
with the QAS Content Standards.
order or taken in execution of an unsatisfied judgment
debt, the IBO must immediately inform Amway. 5.5. Required Disclosures: Whenever any express or
implied Earnings Claims are made to IBOs or in seeking
4.22. Fund-raising: No IBO shall use Amway products
participation of a Prospect in the Plan, an IBO must
or services in conjunction with any type of fund-raising
provide the disclosures as set forth in the QAS Content
activity. Fund-raising includes the solicitation for the
Standards.
donation of funds or for the purchase of Amway
products or services based on the representation that all 5.6. Prohibited Sponsoring Practices: In seeking
or some, of the gains, proceeds, donations, bonuses or participation of a Prospect in the Plan, an IBO must
profits generated by such sale will benefit a particular comply with the QAS Content Standards, and must use
group, organization or cause. only Amway-authorized materials or Business Support
Materials authorized for use with Prospects under Rule 7
4.23. IBO Plan Manipulation: IBOs shall not
(Business Support Materials). An IBO must not
manipulate the Plan, point value (PV) or business volume
encourage or require a Prospect to purchase anything in
(BV) in any way that results in the payment of bonuses
connection with registration. An IBO must not register or
or other awards and recognition that have not been
sponsor New IBOs in a way that manipulates the New
earned in accordance with the terms of the IBO
IBO’s position in the LOS.
contract.
5.7. Sponsor’s Responsibilities: A Sponsor must be an
4.24. Personal/Business Information Update: All IBOs
IBO in full compliance with the Rules of Conduct and
are responsible for communicating any updates or
ensure that all IBOs whom he or she sponsors have
changes to their personal information (e.g., name,
access to and the opportunity to read the IBO contract.
address, email address, telephone numbers, etc.) or
A Sponsor must also use his or her best efforts to provide
business information (e.g., business name, address,
IBOs whom he or she has sponsored with access to
email address, telephone numbers, addition/deletion of
resources to assist them with building their IB, which
partner, change of business status, etc.) to Amway.
may include use of Business Support Materials approved
4.25. Amway Contact: When the Rules require an IBO under Rule 7.
to contact Amway for notice, permission or approval, the
5.8. Platinum Responsibilities: IBOs who qualify as a
IBO shall contact the Amway Business Conduct and
Platinum or above must conduct or provide access to
Rules Department by mail at 7575 Fulton Street East,
periodic sales meetings for the purpose of training and
Ada, Michigan 49355, by fax at 616-787-7896 or by
inspiring IBOs downline to the next qualified Platinum
email at [email protected]. For questions or concerns,
and assure compliance with the Rules of Conduct by
please call 616-787-6712.
IBOs downline to the next qualified Platinum.
5. Presentation of the Plan, Sponsorship and Support 5.9. Prohibited Support Practices: Sponsors and upline
5.1. Presentation of the Plan: When inviting a Prospect IBOs shall not encourage or require downline IBOs, as a
to hear a presentation of the Plan, or when presenting condition of receiving assistance in building their IB after
the Plan to a Prospect, an IBO must make it clear that registration, to (a) purchase any specified amount of
what is being described or offered is the Plan. Amway or non-Amway products or services, or (b)
maintain a specified inventory of Amway or non-Amway
5.2. Describing the Plan: When describing the Plan to products or services.
an IBO or Prospect, an IBO’s statements must be
truthful, accurate and not misleading, and must
convey realistic expectations about potential earnings
related to the Amway business. All statements
describing the Plan and the time and effort to build an
IB must comply with the QAS Content Standards.

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RULES OF CONDUCT
6. Preservation of the Line of Sponsorship 6.1.4. An IBO shall promptly return any and all LOS
Information to Amway upon resignation, non-
6.1. Confidentiality of the LOS: Amway protects the
renewal or termination of his or her IB and shall
LOS and LOS Information for the benefit of Amway and
immediately discontinue any further use thereof.
of all IBOs. Amway keeps LOS Information proprietary
and confidential and treats it as a trade secret. Amway 6.1.5. Every IBO acknowledges that use or disclosure
is the exclusive owner of all LOS Information, which is of LOS Information, other than as authorized by
derived, compiled, configured and maintained through Amway, will cause significant and irreparable harm
the expenditure of considerable time, effort and to Amway, warranting an award of injunctive relief,
resources by Amway and its IBOs. IBOs can use Amway’s including a temporary restraining order and/or a
goodwill and LOS Information only for the purposes preliminary injunction, specific performance and
permitted under the IBO contract. damages, including costs, attorneys’ fees and
disgorgement of all profits made as a result of such
6.1.1. IBOs acknowledge and agree not to challenge,
unauthorized use or disclosure.
that: (i) LOS Information is confidential and a
valuable trade secret owned by Amway; (ii) LOS 6.1.6. An IBO’s obligations under this Rule 6.1 shall
Information is owned exclusively by Amway; and (iii) survive and remain enforceable following the
IBOs do not own any rights in LOS Information. IBOs voluntary or involuntary resignation, non-renewal or
agree not to challenge or interfere with Amway’s termination of that IBO’s IB.
authority to license or sublicense LOS Information.
6.2. Non-Competition and Non-Solicitation:
IBOs shall not assert or seek any rights or protection
of any kind in LOS Information other than those 6.2.1. Non-Competition (current IBOs): Every IBO
limited rights or protections that may be specifically agrees not to own, manage, operate, consult for,
granted by this Rule. serve in a Key Position in or participate as an
independent distributor in (a) any other direct sales
6.1.2. An IBO may use LOS Information only with
program using a multilevel or network marketing
Amway’s prior written permission, which may be
structure or (b) any other enterprise that markets,
expressed through general publication (to all IBOs)
through independent distributors, products or
or through a specific writing to one or more IBOs.
services functionally interchangeable with those
Any permission granted by Amway shall constitute a
offered through or by Amway.
limited non-exclusive, non-transferable and
revocable license by Amway for an IBO to use LOS 6.2.2. Non-Solicitation (current IBOs): Every IBO
Information only as necessary to facilitate his or her agrees that he or she will not, on his or her own
IB as permitted under these Rules of Conduct. behalf or on behalf of any person or entity, directly
Amway reserves the right to deny or revoke any such or indirectly, encourage, solicit or otherwise attempt
license, upon reasonable notice to the IBO stating to recruit or persuade (i) any IBO or (ii) any person
the reason(s) for such denial or revocation, who has been an IBO within the past two calendar
whenever, in the reasonable opinion of Amway, such years, to own, manage, operate, consult for, serve in
is necessary to protect the confidentiality or value of a Key Position in or participate as an independent
LOS Information. distributor in (a) any other direct sales program
using a multilevel or network marketing structure, or
6.1.3. All IBOs shall maintain LOS Information in
(b) any other enterprise that markets, through
strictest confidence and shall take all reasonable
independent distributors, products or services
steps and appropriate measures to safeguard LOS
functionally interchangeable with those offered
Information and maintain the confidentiality thereof.
through or by Amway.
An IBO shall not compile, organize, access, create
lists of or otherwise use or disclose LOS Information
except as authorized by Amway. An IBO also shall
not disclose LOS Information to any third party, or
use LOS Information in connection with any other
businesses or to compete, directly or indirectly, with
the Amway business.

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RULES OF CONDUCT
6.2.3. Non-Competition (former IBOs): Every IBO 6.2.10. Nothing in this Rule 6.2 restricts competition
agrees that, during the six-month period following between IBOs (a) in the sale of products or services
the resignation, non-renewal or termination of that offered through or by Amway to Customers or (b) in
IBO’s IB, he or she shall not own, manage, operate, the registration of New IBOs or Customers.
consult for, serve in a Key Position in or participate
6.2.11. Every IBO acknowledges that this Rule 6.2
as an independent distributor in (a) any other direct
protects the reasonable competitive business
sales program using a multilevel or network
interests of Amway and IBOs and that a violation of
marketing structure, or (b) any other enterprise that
any subsection of this Rule 6.2 will cause significant
markets, through independent distributors, products
and irreparable harm to IBOs and Amway,
or services functionally interchangeable with those
warranting an award of injunctive relief, including a
offered through or by Amway.
temporary restraining order and/or a preliminary
6.2.4. Non-Solicitation (former IBOs): Every IBO injunction, specific performance and damages,
agrees that, during the 24-month period following including costs, attorneys’ fees and disgorgement of
the resignation, non-renewal or termination of that all profits made as a result of such violation.
IBO’s IB, he or she shall not, on his or her own behalf
6.2.12. Except for obligations under Rule 6.2.1 and
or on behalf of any person or entity, directly or
Rule 6.2.2, an IBO’s obligations under this Rule 6.2
indirectly, encourage, solicit or otherwise attempt to
shall survive and remain enforceable following the
recruit or persuade (i) any IBO or (ii) any person who
voluntary or involuntary resignation, non-renewal or
has been an IBO within the past two calendar years,
termination of that IBO’s IB.
to own, manage, operate, consult for, serve in a Key
Position in or participate as an independent 6.3. Other Business Activities: Except as provided in
distributor in (a) any other direct sales program Rule 6.2, IBOs may engage in other business ventures,
using a multilevel or network marketing structure, or including other selling activities, involving products,
(b) any other enterprise that markets, through services or business opportunities. However, IBOs may not
independent distributors, products or services take advantage of their knowledge of or association
functionally interchangeable with those offered with other IBOs whom they did not personally register,
through or by Amway. including their knowledge resulting from or relating to
Line of Sponsorship Information, in order to promote and
6.2.5. The time periods in Rules 6.2.3 and 6.2.4
expand such other business ventures.
above shall be extended by any period of time
during which the former IBO is in violation of the 6.3.1. Every IBO agrees not to solicit, directly or
applicable Rule. indirectly, other IBOs whom he or she did not
personally sponsor in order to sell, offer to sell or
6.2.6. The geographic scope of Rules 6.2.1, 6.2.2,
promote other products, services, business
6.2.3 and 6.2.4 is the Region.
opportunities, investments, securities or loans not
6.2.7. All IBOs agree that these Rules are reasonable offered through or by Amway. Every IBO agrees not
in both time and geographic scope. to sell, offer to sell or promote any other business
opportunities, products or services in connection
6.2.8. For purposes of this Rule 6.2, “Key Position”
with the Plan. Nothing in this Rule 6.3 restricts the
means an owner, employee, agent or independent
sale or distribution of Business Support Materials in
contractor who contributes to the profitability of his
accordance with Rule 7.
or her new business or who is in a position to receive
benefit or competitive advantage from his or her 6.3.2. Nothing in this Rule 6.3 restricts, for example,
new business by virtue of his or her access to LOS an IBO regularly engaged in the operation of a
Information. service station, auto dealership, retail establishment,
salon or a professional service (e.g., law, medicine,
6.2.9. Nothing in this Rule 6.2 restricts the sale or dentistry or accounting) from serving customers who
distribution of privately developed Business Support are IBOs and who have sought them out. But an IBO
Materials in accordance with Rule 7 and Rule 6.3. shall not actively solicit the patronage of other IBOs
based on knowledge or information gained as a
result of being an IBO.

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RULES OF CONDUCT
6.4. Approval of Certain IBO Contract Changes: The 6.7. Six-Month Inactivity: An IBO who wishes to
sale of an ownership interest in an IB, transferring an IB, transfer to a different Sponsor but is unable to obtain
merging IBs, separating or dividing an IB, or assignment the necessary consents may not register under a new
of any rights or obligations under an IBO contract Sponsor until the IBO has terminated his or her IBO
require express approval of Amway in writing. None of contract or failed to renew and has been inactive for a
the foregoing may be used to manipulate the Line of period of six months or longer. Following the lapse of the
Sponsorship. inactive period, the former IBO may register as a New
IBO under a new Sponsor.
6.5. Individual Transfers: An individual transfer involves
the transfer of an IBO without any downline IBOs. Any 6.7.1. During the period of inactivity, a person shall
IBO who wants to change his or her Sponsor must not conduct any of the activities of an IBO under his
submit a written request to Amway accompanied by (1) or her name, or in the name of another person or IB.
a written release signed by all the IBOs upline in the Line
6.7.2. The following shall not interrupt the running of
of Sponsorship up to and including the first qualified
the six-month inactivity period: (a) procuring and/or
Platinum, (2) a written acceptance from the New IBO
submitting a written request for transfer,
Sponsor and new upline Platinum and (3) a statement
(b) engaging in the Mediation process under Rule
indicating the business reason for the transfer request.
11.4, (c) operating an Amway-affiliated business in
Upon Amway’s express approval in writing of the
any other country in which an Amway affiliate
request, the written acceptance from the new Sponsor
conducts business, (d) directing an inquiry to
and upline Platinum confirms that they will incur all
Amway as to the status of his or her IB or (e)
responsibilities of the transferring IBO.
purchasing Amway products or services as a
6.6. Group Transfers: A group transfer involves the Customer.
transfer of an IBO with one or more downline IBOs.
6.7.3. Two-Year Inactivity: An IBO who transfers to a
6.6.1. An IBO who wishes to transfer to a different new Sponsor, or who registers under a different
sponsor with one or more downline IBOs may do so Sponsor after six months of inactivity, may not
only with the express approval of Amway in writing. sponsor any IBO who was previously upline or
In addition, an IBO must submit a written request to downline to him or her, up to and down to the first
Amway accompanied by (a) written consent from qualified Platinum unless at least two years have
all IBOs upline in the Line of Sponsorship up to and elapsed since the expiration of the sponsored IBO’s
including the first qualified Platinum and also the contract.
first qualified Emerald, (b) written consent of all IBOs
6.7.4. Two-Year Inactivity (Joining an Existing IB):
whom the transferring IBO wishes to transfer with
Former IBOs may not be added to an existing IB for
him or her, (c) written consent by the new Sponsor
a period of 24 months following the expiration of
and his or her upline qualified Platinum to which the
their IBO contract.
requesting IBO wants to be transferred and (d) a
statement indicating the business reason for the 6.8. Sale of an IB: An IBO who owns and operates an IB
transfer request. may sell his or her ownership interest in such IB only to
another IBO who is in compliance with the Rules of
6.6.2. No IBO currently qualified as a Silver
Conduct and who has the sufficient skills, experience,
Producer or above can be transferred with downline
judgment and resources to operate the IB, as
IBOs under this Rule.
reasonably determined by Amway. Amway requires that
6.6.3. An IBO formerly qualified as a Silver Producer specific terms of sale be included in any sales
or above may be transferred with downline IBOs if agreement. Such terms and a sample sales agreement
more than 12 months have elapsed since the IBO may be obtained from Amway. An IB may be sold only
was so qualified. with the express approval of Amway in writing.

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6.8.1. In order to preserve the Line of Sponsorship, 6.9. Mergers and Combinations of IBs: Mergers of IBs
the selling IBO must offer his or her IB in the order of resulting from failure to file a Renewal Agreement,
priority stated below and the IBO(s) interested in termination, resignation, death (with no designation of
purchasing the IB must meet all of the terms and succession by heirs) or some involuntary event or cause
conditions set forth in these Rules: beyond the control of any of the owners, are permitted,
only with the express approval of Amway in writing.
6.8.1.1. The first option to purchase belongs to
the selling IBO’s International Sponsor, who 6.10. Two IBs Rule: An IBO may own or have an
retains the right to acquire the IB throughout the ownership interest in only one IB except: (a) where two
negotiations to sell the IB by meeting the price IBOs marry; (b) where an existing IB purchases another
and conditions of any bona fide offer received IB pursuant to Rule 6.8; or (c) where the IB is, or will be,
by and deemed acceptable to the selling IBO; passed on to a deceased person’s spouse, heirs or other
beneficiary in accordance with Rule 3.10.
6.8.1.2. The second option to purchase belongs
to the selling IBO’s local Foster Sponsor so long 6.11. Parent-Child Integration: As part of a plan to
as the first option has not been exercised. In the ensure the continuity of IBs owned by parents and
event the selling IBO has no International children (“Succession Plan”), parent and children IBOs
Sponsor, the local Sponsor retains the right to may integrate their respective IBs, provided that they
acquire the IB throughout the negotiations to submit a written request to Amway and meet the
sell the IB by meeting the price and conditions of following:
any bona fide offer received by and deemed
a) the child(ren) must be personally registered by
acceptable by the selling IBO;
the parents, or the parents must be personally
6.8.1.3. The third option, exercisable so long as registered by the child(ren);
the first or second options above have not been
b) the parent’s IB and the child’s (children’s) IB must
exercised, belongs to any one of the selling IBO’s
have operated as a separate IB for not less than two
personally registered IBOs;
years by date of implementation;
6.8.1.4. The fourth option, exercisable so long as
c) the parent and the child(ren) shall be qualified at
the first, second or third options above have not
the level of Platinum or above as of the
been exercised, belongs to any qualified
implementation date;
Platinum IBO or above, either up or down the
Line of Sponsorship from the selling IBO to the d) in the event that the parent(s) or the child(ren) is
next qualified Diamond; deceased or is not mentally or physically capable of
running the IB before conditions b and c above have
6.8.1.5. The final option, exercisable so long as
occurred, the child(ren) or parent(s) inheriting the IB
the first, second, third or fourth options above
shall have the right to integrate the separate IBs in
have not been exercised, belongs to any IBO in
accordance with this Rule.
good standing.
Once the above conditions have been met, the
6.8.2. If Amway operates an IB and has entered into
Legal & Ethics Committee of the IBOAI Board shall
a servicing agreement with an IBO to manage the
review such request and provide Amway with a
IB, Amway shall have the option of selling the IB to
recommendation. Amway may or may not approve
the servicing IBO.
the request in light of such recommendation, the
6.8.3. When an IB is sold, it will remain in its same Succession Plan and the goals, objectives and
position in the Line of Sponsorship. benefits of the Plan. The implementation of the
integration or de-integration shall be on September 1
after at least one full fiscal year has passed since
Amway expressly approved the request in writing.

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6.12. Divorce, Separation or Other Dissolution of a 6.12.5. Qualified Emeralds or above at the time
Non-Spousal Partnership or Legal Entity: IBOs who of divorce, separation of marital property or
become involved in an action for divorce, separation of dissolution may divide their IB, thereby creating
marital property or the dissolution of a non-spousal two separate IBs, one of which is sponsored by
partnership or Legal entity formed under Rule 3.3 must the other, in which case a “phantom IB” will be
continue to conduct themselves in compliance with the imposed over their separate IBs. Under the
Rules of Conduct. “phantom IB” arrangement, regardless of how
the parties may split their IB, their separate IBs
6.12.1. During the pendency of a divorce,
will be considered a single IB for purposes of
separation of marital property or dissolution of
determining bonuses to be paid to upline IBOs.
a Legal entity, the IBOs must adopt one of the
The parties will function as two separate IBOs
following methods of operation: (a) the IBOs
so far as themselves, their respective IBs and
continue to operate the IB jointly on a
their respective sponsored IBOs are concerned.
“business-as-usual” basis; (b) one or more IBOs
The IB of one IBO is not permitted to earn a
relinquishes his or her right and interest in the
Leadership Bonus or a Depth Bonus on the
IB; (c) the IBOs may agree on a third party to
volume of the IB of the other IBO. Even though
operate the IB, subject to express approval of
the original IB is divided into two separate IBs,
Amway in writing; or (d) if the IBOs cannot
Amway may, if the IBOs request, recognize
agree on a third party, Amway shall appoint a
both newly created IBs as a single entity for
third party to act as a receiver during the
purposes of determining annual bonuses. Thus,
pendency of the divorce or dissolution if Amway
the “phantom IB” arrangement continues the
determines that such an appointment is
previously existing IB for purposes of
necessary to prevent a negative impact on the
calculating and paying higher award level
business.
bonuses to the IBOs of the original IB. If one IBO
6.12.2. After a Final Decree or Judgment of registers another IBO of the original IB, the
Divorce, a Final Separation Agreement or other downline sponsored IBO at maximum
domestic contract that contains a Legally Performance Bonus level may count as a
enforceable Property Settlement or Division of qualifying “Group” for recognition purposes
Assets that addresses their IB, or after a final only. Amway will issue all annual bonus checks
dissolution of a Legal entity, IBOs may: (a) in the joint names of the IBOs of the original IB,
agree to continue to operate their IB in the form leaving it to them to determine how the funds
of a partnership or other Legal entity permitted are to be divided. Whenever an Emerald or
under Rule 3.3; or (b) agree that one IBO may above IB is divided, the IBOs of the original IB
relinquish all rights in the original IB to the other may rely on their former pin level to meet the
IBO(s), at which time the withdrawing IBO is requisite pin-level qualification for an invitation
free to immediately register under any Sponsor. to Amway-sponsored events for one fiscal year
following the fiscal year in which the divorce,
6.12.3. IBOs below the level of qualified separation of marital property or other
Platinum level may not divide their IB in the dissolution occurred. Once an IB has been
case of a divorce, separation of marital property divided into two IBs, the new IBs will no longer
or other dissolution. be considered as a single combined IB for
6.12.4. Upon approval by Amway following purposes of future higher pin/award
submission of a signed written request, IBOs recognition, but each separate IB must
who are qualified at the Platinum level may thereafter qualify on its own. To effect a
divide their IB so that one of the IBOs is the division of the IB and to permit the IBOs to
Sponsor of the other IBO. In such a case, all operate separate IBs, the IBOs must file a
Groups recognized by Amway as 25% Sponsor certified copy of the Final Decree or Judgment
or above within the past one year (“qualified of Divorce, a Final Separation Agreement or
Groups”) will remain registered under the other domestic contract that contains a Legally
downline IBO. IBO(s) in the remaining Groups enforceable Property Settlement or Division of
(“non-qualified Groups”) who wish to change Assets that addresses their IB, or a final
their positions in the Line of Sponsorship must Dissolution Agreement and any additional
follow the requirements of the Individual or documents requested by Amway.
Group Transfer Rules at Rules 6.5 and 6.6,
respectively.

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RULES OF CONDUCT
6.13. Disposition of an IB: If an IBO resigns, fails to 7.1.3. Amway’s Satisfaction Guarantee and Buy-
renew, terminates his or her IB, dies without transferring Back Rules do not apply to materials not sold by
the IB or is terminated by Amway, Amway shall decide the Amway. BSM may only be sold subject to the right
future of the IB in accordance with these Rules. of the purchaser to return such BSM for a refund in
accordance with the following:
7. Business Support Materials
7.1.3.1. The terms of the refund policy, including
Business Support Materials (BSM) as used in these Rules terms regarding procedures for the resolution
means all products and services (including but not of disputes and the responsible person for
limited to business aids, books, magazines, flip charts returns, must be clearly communicated to the
and other printed material, online literature, internet purchaser prior to any sale. In addition to any
websites, advertising, audio, video or digital media, other person designated to handle returns, the
rallies, meetings and educational seminars and other selling IBO and the Approved Provider shall be
types of materials and services) that are (i) designed to responsible for handling returns if the sale
solicit and/or educate Prospects, Customers or occurred under Rule 7.2 and the selling IBO
prospective Customers of Amway products or services, together with the selling IBO’s upline Platinum
or to support, train, motivate and/or educate IBOs, or (ii) IBO or above shall be responsible for handling
incorporate or use one or more of the Marks or returns of all other sales.
Copyrighted Works of Amway, or (iii) are otherwise
offered with an explicit or implied sense of affiliation, 7.1.3.2. Except as provided in Rule 7.1.3.3, an
connection or association with Amway. Unless otherwise IBO end user of BSM may return BSM
specified in writing, IBOs acknowledge that nothing in purchased, together with proof of purchase,
this Rule, or in any other Rule, shall be construed or within 180 days following purchase, for a
interpreted as a license or other permission to refund on commercially reasonable terms.
incorporate any LOS Information into any BSM. 7.1.3.3. In addition to compliance with the
7.1. General Rules on BSM requirements of Rule 7.1.2 to refrain from selling
BSM to, or collecting revenue of any kind from,
7.1.1. IBOs may sell BSM only in accordance with IBOs in their first contract year, each IBO who
Rules 7.1 and 7.2. BSM created, used, promoted, chooses to sell tickets to seminars, events and
distributed or offered for sale by or to IBOs must: (a) other business meetings is obligated to buy
comply with all QAS Content Standards and any back tickets purchased for the purchaser’s
applicable Rules of Conduct relating to their use, personal use for a period of 30 days after the
promotion and sale; (b) be submitted to Amway for event. Such refund shall be for that portion of
review prior to use, promotion, distribution or sale; the cost of the event related to admission to the
(c) be authorized by Amway; and (d) if required for event, exclusive of the cost of travel, meals or
the category of BSM, bear the authorization number hotel accommodations.
provided by Amway.
7.1.3.4. BSM offered in the form of website
7.1.2. IBOs in their first contract year following subscriptions and downloadable media are
registration with Amway are prohibited from subject to the following requirements, in
purchasing BSM directly or indirectly. An IBO’s first addition to Rule 7.1.3: (a) purchasers canceling
contract year is the period from an IBO’s website subscriptions are entitled to a refund
registration with Amway to the end of their first IBO for unused, whole months of any prepaid
contract term with Amway under Rule 3.6, except subscription(s); and (b) purchasers of
that for IBOs who registered with Amway in August downloadable media are entitled, if
2023, their first IBO contract term with Amway does dissatisfied, to obtain a replacement download
not end until December 31, 2024. Additionally, IBOs of equal value within 30 days of the purchase
and Approved Providers are prohibited from, of the subject downloadable media.
directly or indirectly, selling BSM to or collecting
revenue of any kind from IBOs in their first contract
year. BSM shall not be sold to Prospects.

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RULES OF CONDUCT
7.1.4. IBOs promoting, selling, distributing or 7.1.12. IBOs qualified at the Platinum level or above
offering BSM for sale must: (a) ensure that such who are not affiliated with an Approved Provider
BSM are not sold or offered for sale in conjunction and who wish to sell, promote or distribute BSM
with the IBO’s registration with Amway or at any must register with Amway by completing the
other time in the IBO’s first contract year with “Platinum BSM Registration Form” available from
Amway in accordance with Rule 7.1.2; (b) provide the Business Support Materials Administration
purchasers of such BSM with any disclosures or Department.
other information that may be required by Amway
7.2. Sale, Promotion and Distribution of BSM with
from time to time; (c) clearly inform every IBO
Authorization from an Approved Provider (a
purchasing BSM that purchasing BSM is optional
supplier authorized by Amway to provide BSM to
and is strictly voluntary and (d) advise the
IBOs or use BSM with Prospects, pursuant to the
purchaser about refund policies that apply to such
ACCREDITATION PLUS Program)
BSM in accordance with Rule 7.1.3.
7.2.1. IBOs who wish to sell, promote or earn income
7.1.5. No IBO may record an Amway presentation
from the sale of BSM from an Approved Provider
without the prior specific written consent of Amway.
must have a written contract or other binding
An IBO may make a single recording of the talks or
authorization from that Approved Provider in
presentations made by non-Amway employees at
accordance with the Program, obligating the IBO to
any Amway-sponsored meeting, provided the
adhere to applicable Quality Assurance Standards
recording is for their personal use and is not
in connection with such activities.
reproduced for any purpose.
7.2.2. IBOs who are authorized by an Approved
7.1.6. Although the specific content of live seminars,
Provider to sell, promote or distribute an Approved
events, business meetings or other similar BSM must
Provider’s BSM in accordance with Rule 7.2 require
comply with the Quality Assurance Standards, such
no further written authorization from Amway to
BSM do not require prior authorization from Amway
conduct such activity.
unless or until the content is reduced to a fixed
media (such as in print, audio or video) for use with 8. Marks and Copyrighted Works
IBOs or Prospects.
Amway’s Marks and Copyrighted Works are important
7.1.7. An IBO who purchases, promotes, distributes and valuable business assets of Amway. The Marks help
or offers BSM for sale shall use reasonable efforts to identify the source and reputation of Amway products
determine that the quantity and cost of BSM are and services worldwide and distinguish them from those
reasonably related to sales volume and profits of the of competitors. Amway makes commercially reasonable
purchaser’s IB. efforts to protect the Marks from improper use, including
7.1.8. IBOs who create, promote, distribute or sell through the Rules of Conduct, accreditation of Approved
BSM to other IBOs may not compensate or Providers and a corporate identity program that requires
remunerate other IBOs in connection with such the correct and consistent use of the Marks, both in
distribution, except in accordance with Rule 7.2. appearance and substance.

7.1.9. IBOs may organize seminars, events or 8.1. Use of Marks and Copyrighted Works: An IBO
business meetings for IBOs consistent with their may use Amway’s Marks and Copyrighted Works only
training obligations as sponsors or Platinums. with Amway’s prior written permission, which may be
expressed through general publication (to all IBOs) or
7.1.10. IBOs creating, using, selling, promoting or through a specific writing to one or more IBOs. Without
distributing BSM apart from Rule 7.2 must obtain limitation, Amway may require conformity with
appropriate written authorization from Amway in specifications, may require that materials that use
accordance with Rule 8 in order to use any Marks or Amway’s Marks and/or Copyrighted Works be sourced
otherwise use any copyrighted material or other from Amway or an Amway-approved supplier and may
intellectual property of Amway in connection with otherwise condition use of its Marks and Copyrighted
such BSM. Works. Any permission granted by Amway shall
7.1.11. IBOs creating, using, selling, promoting or constitute a limited, nonexclusive, nontransferable and
distributing BSM must not infringe the copyrights or revocable license to use such Marks and Copyrighted
intellectual property rights of Approved Providers, Works solely in connection with the Amway business in
other IBOs or third parties. the Region. Subject to conditions and specifications

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RULES OF CONDUCT
published or specifically provided in writing from time to 9.2. IBO Rights and Responsibilities: If an IBO believes
time, the Marks and Copyrighted Works may be used that another IBO has breached the IBO contract, the
only on: (a) exterior and interior office signs; (b) all forms IBO first should contact the IBO in question in an effort
of vehicle signs; (c) telephone listings; (d) promotional to resolve the issue. If an IBO believes that Amway has
literature; (e) stationery; (f) premiums; and (g) business breached the IBO contract, the IBO first shall contact
cards. Other proposed uses will be considered upon Amway in an effort to resolve the issue. If discussion with
request. Without limitation, Amway will not authorize an either an IBO or Amway does not resolve the issue, the
IBO to use the Marks on imprinted checks. IBO may file a written complaint with Amway. The
complaint should explain the issue in as much detail as
9. Complying with the IBO Contract possible and include all supporting documents. Amway
(Remedies for Breach) will investigate as appropriate and take enforcement or
corrective action under the IBO contract, if necessary. If
Complying with the IBO contract is essential for
any issue remains unresolved, it shall be submitted to
preserving a strong and viable business for IBOs and
the Dispute Resolution Procedures described in Rule 11.
Amway. IBOs and Amway each have rights and
responsibilities in case of a breach of the IBO contract. 9.2.1. An IBO who elects to challenge the validity of
a Rule or other term of the IBO contract shall first
9.1. Amway’s Rights and Responsibilities: When
contact Amway in an effort to resolve the issue. If
Amway detects a potential breach of the IBO contract, it
the IBO is not satisfied with Amway’s response, the
will first investigate as appropriate. Before taking
dispute shall be resolved in Binding Arbitration
enforcement action, Amway shall attempt to contact the
under Rule 11.5.
IBO in an effort to resolve the issue. If the
communication does not resolve the issue, Amway may 9.3. Duty to Cooperate: All IBOs are required to
take any enforce­ment action authorized by the IBO respond to inquiries and otherwise cooperate in a timely
contract including, but not limited to, one or any fashion with any investigation conducted by Amway.
combination of the following: Failure to respond to inquiries or to otherwise cooperate
in a timely fashion is a breach of the IBO contract and
9.1.1. A written warning to an IBO and/or upline or
may result in Amway taking action against the IB.
downline IBOs in the Line of Sponsorship.
9.4. Non-Waiver: The failure of Amway or any IBO to
9.1.2. Retraining an IBO and/or upline or downline
enforce any breach of any provision of the IBO contract
IBOs in the Line of Sponsorship.
shall not constitute a waiver of any prior, concurrent or
9.1.3. Suspending some or all of the rights of an IBO subsequent breach of the same or any other provision of
for a specified period of time, or until certain the IBO contract.
conditions have been satisfied.
10. Modification of the IBO Contract
9.1.4. Withdrawing or denying an award, trip, pin
recognition or other incentive. Amway may modify the IBO contract in accordance with
the following procedures:
9.1.5. Withholding any monthly or annual bonus or
incentive payments. 10.1. Any changes to Rule 11 require mutual agreement
of the IBOAI Board and Amway. For all other Rules, final
9.1.6. Compensatory remedies, as applicable. decision-making authority on amendments to the IBO
9.1.7. Transferring an IBO or a group of IBOs. contract rests with Amway. Amway will, prior to final
action, submit to the IBOAI Board for discussion,
9.1.8. Terminating an IBO contract. evaluation and recommendation all changes in the IBO
contract that materially affect IBOs.
If an IBO elects to challenge any action taken by Amway
under this Rule, the IBO shall submit the issue to the
Dispute Resolution Procedures described in
Rule 11.

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RULES OF CONDUCT
10.2. Amway will notify IBOs of the proposed changes The only exception is when the claim made by an IBO or
subject to Rule 10.1 by making them available to review Amway is for a debt on account for product or services
by logging on to amway.com and solicit comments from offered through or by Amway to or on behalf of the IBO,
IBOs concerning the proposed changes. Amway and the and the only Parties to that claim are Amway and the
IBOAI Board will consider any comments submitted during IBO, and the total value of the claim is less than $10,000.
the 30 days following such notice. The proposed changes In such cases the IBO or Amway may elect to pursue the
shall become effective 15 days after the end of the claim in any court of competent jurisdiction including
comment period, unless Amway makes further small claims court. In all other cases the Parties will
modifications, after consultation with the IBOAI Board resolve the Dispute as provided for under these Rules, up
(and agreement in the case of Rule 11). Amway shall to and including Binding Arbitration if necessary.
provide notice of any such further modifications on
11.1. Amendment Only with IBOAI Consent: This Rule
amway.com 15 days prior to the effective date of such
11 and its subparts shall be amended only by mutual
further modifications. These time periods may be
agreement between Amway and the IBOAI Board, and
shortened when it is necessary for a particular change to
such amendments shall not be retroactively applied to
comply with a new law or other government mandate, to
any dispute known to Amway or the IBOAI Board at the
protect IBOs from serious financial harm or to protect the
time of amendment.
integrity of the Plan. Rule changes have prospective
effect only. 11.2. Temporary or Preliminary Injunctive Relief:
Nothing in these Rules prevents the Parties from seeking
10.3. Prior to the effective date of any proposed Rule
temporary or preliminary injunctive or other relief from a
change, any IBO who is unwilling to accept a Rule
court of competent jurisdiction, notwithstanding the
change can, if he or she wishes, provide notice of his/her
Parties’ obligation to participate in the Mediation
intent to resign from the Amway business on the
process or Binding Arbitration under Rule 11.
effective date of the Rule change. Unless the proposed
Rule change is withdrawn, the IBO’s resignation will 11.3. Confidentiality: The Parties, when involved in the
become effective and Amway will refund a pro rata dispute resolution process in any manner, will not
share of the IBO’s renewal cost, if paid for that year. The disclose to any other person not directly involved in the
resigning IBO may sell his or her IB in accordance with dispute resolution process: (a) the substance of, or basis
Rule 6.8. In addition, the resigning IBO can return any for, the Dispute (b) the content of any testimony or other
unused, marketable products pursuant to Rule 4.10. information obtained through the dispute resolution
process or (c) the resolution (whether voluntary or not) of
11. Dispute Resolution Procedures any matter that is subject to the dispute resolution
Disputes arising out of or relating to an IB, the Plan or all process. However, nothing in these Rules shall preclude
other terms of the IBO contract, including, but not any one of the Parties from, in good faith, investigating
limited to, any state or federal statutory or common law a claim or defense, including interviewing witnesses and
claims, as well as disputes involving Business Support otherwise engaging in discovery.
Materials (“Disputes”) shall be resolved in accordance 11.4. Non-Binding Mediation: The Mediation process
with this Rule. The dispute resolution procedures in this comprises two stages: Facilitative Mediation and a
Rule apply to Disputes involving the following parties: (1) Hearing Panel, both of which are non-binding. The
an IBO, a former IBO or any such IBO’s officers, Mediation process is reciprocal and applies to all
directors, agents or employees (collectively referred to Parties. The Parties to a Dispute shall engage in the
as “IBOs” for purposes of this Rule 11); (2) Amway, Mediation process set forth in this Rule 11.4 prior to
Amway Canada Corporation and any parent, proceeding to Binding Arbitration pursuant to Rule 11.5;
subsidiary, affiliate, predecessor or successor thereof, or however, in Disputes where an IBO is a Party, the IBO
any of their officers, directors, agents or employees may, at the IBO’s sole discretion, opt out of the
(collectively referred to as “Amway” for purposes of this Mediation process at any time, before or during either
Rule 11); and (3) an Approved Provider, a former the Facilitative Mediation or Hearing Panel stages, and
Approved Provider or its officers, directors, agents or may instead proceed directly to Binding Arbitration
employees (collectively referred to as “Approved pursuant to Rule 11.5.
Providers” for purposes of this Rule 11). IBOs, Amway and
Approved Providers are collectively referred to for
purposes of this Rule 11 as the “Party” or “Parties.” Rule
11 is reciprocal and applies to all of the Parties.

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RULES OF CONDUCT
The Party first seeking resolution of a Dispute shall 30 days. And, the mediator may extend the
commence Facilitative Mediation, subject to an IBO’s deadline an additional 30 days upon the
ability to opt out of the Mediation process as described request of a Party (for a total of no more than
above, by providing a Request for Mediation form to the 90 days from the date of the selection of a
other affected Parties and, in any Dispute, the Amway mediator).
Business Conduct and Rules Department. In cases where
11.4.1.6. The Facilitative Mediation proceeding
the IBOAI will be involved in the Mediation process, a
is confidential and not open to the public; but
copy of the Request for Mediation will also be given to
any participant may, if he or she chooses, be
the IBOAI and the IBOAI Hearing Panel Chairperson.
accompanied by an attorney or another
11.4.1. Facilitative Mediation: In the event that a personal representative, such as an upline IBO
Facilitative Mediation takes place, the IBOAI Board or a friend or family member, as long as the
provides experienced IBOs who are available to representative agrees to the confidentiality
serve as mediators (“IBOAI Mediator”). obligations set forth in Rule 11.3.
11.4.1.1. In cases where only IBOs and Amway 11.4.1.7. All Parties who receive notice of the
are Parties to the Dispute and one or more IBOs Facilitative Mediation are required to
involved in the Dispute have not opted out of participate, subject to an IBO’s ability to opt
the Mediation process pursuant to Rule 11.4, an out of the Mediation process pursuant to Rule
IBOAI Mediator will serve and conduct a 11.4. The Parties are strongly encouraged to
Facilitative Mediation with the Parties, unless attend the Facilitative Mediation in person, but
one or more IBOs involved in the Dispute are not required to do so. Should the Parties
objects to an IBOAI Mediator. In that case, the choose to attend in person, they are
Facilitative Mediation will take place with an responsible for their own expenses. Failure by
independent neutral mediator acceptable to all Amway or any disputing IBO to participate in
Parties. Amway can provide a list of possible good faith is a breach of the IBO Contract, and
mediators, but the Parties are not obligated to the Party found to be in breach shall reimburse
agree to any mediator on that list. the other Parties for any expense directly
caused by the breach, as determined by the
11.4.1.2. In cases where an Approved Provider is
mediator.
a Party to the Dispute and one or more IBOs
involved in the Dispute have not opted out of 11.4.1.8. The mediator shall within 14 days
the Mediation process pursuant to Rule 11.4, the following the Facilitative Mediation provide the
Facilitative Mediation will take place with an Parties with a written statement summarizing
independent neutral mediator acceptable to all any agreement between the Parties resolving
Parties, unless all of the Parties involved in the their Disputes and, for any Dispute not settled,
Dispute stipulate to Facilitative Mediation with declaring that the Parties are at an impasse.
an IBOAI Mediator. Amway can provide a list of The mediator may, at his/her discretion,
possible mediators, but the Parties are not recommend a resolution for any Dispute not
obligated to agree to any mediator on that list. settled in the Facilitative Mediation. Within 14
days of receiving this summary, each Party
11.4.1.3. In all instances where the Parties
shall state in writing whether or not it agrees
cannot agree on a mediator within 10 business
with any recommendation by the mediator, in
days of receiving the Request for Mediation
whole or in part.
form, any Party upon notice to any other Party
involved in the Dispute may request the 11.4.2. Hearing Panel: If any part of the Dispute is
American Arbitration Association (AAA) to select not resolved by Facilitative Mediation under Rule
a mediator. 11.4.1, any IBO who is a Party to the remaining
Dispute may request a Hearing Panel, subject to the
11.4.1.4. Amway will pay the reasonable fees of
IBO’s ability to opt out of the Mediation process
the mediator for up to one full day, except that
pursuant to Rule 11.4. Any remaining Dispute
if an Approved Provider is a Party, the Approved
involving an Approved Provider, or any challenge to
Provider is responsible for its pro rata share of
the impartiality of the Hearing Panel itself, shall go
the mediator’s fee.
directly to Binding Arbitration without a Hearing
11.4.1.5. The Facilitative Mediation shall take Panel.
place within 30 days of selection of a mediator.
The Parties may agree to extend this date by

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11.4.2.1. A Request for Hearing Panel form must 11.4.2.5. When a voluntary resolution does not
be filed with the Amway Business Conduct and occur, the Hearing Panel, within 30 days
Rules Department or the Hearing Panel following completion of the hearing, will issue
Chairperson within 30 days after the to the Parties and Amway a written statement
mediator’s written statement pursuant to Rule of facts and a non-binding recommendation for
11.4.1.8. Upon receipt of a request, the matter is resolution, including, if appropriate, the
scheduled for the next Hearing Panel session, imposition of certain sanctions. Within 14 days
which shall be not more than 60 days following of receiving that recommendation each Party
the request. All Parties who receive notice of shall inform the Panel and the other Parties in
the hearing are required to participate, subject writing whether that Party: (a) accepts the
to an IBO’s ability to opt out of the Mediation recommended resolution in its entirety; (b)
process pursuant to Rule 11.4, unless excused accepts some specific portions of the
by the Hearing Panel Chairperson or his/her recommended resolution and rejects the others;
designee. The Parties are strongly encouraged or (c) rejects the recommended resolution in its
to attend the hearing in person, but are not entirety. Any Party may demand arbitration of
required to do so. Should the Parties choose to any unresolved Dispute under Rule 11.5.
attend in person, they are responsible for their
11.5. Binding Arbitration: The Parties shall submit any
own expenses.
Disputes that were not resolved through the Mediation
11.4.2.2. The IBOAI Board Executive process described in Rule 11.4, to Binding Arbitration in
Committee selects the Hearing Panel accordance with this Rule 11.5.
Chairperson, three additional Panel members
11.5.1. The arbitration award shall be final and
and alternates who may serve on the Hearing
binding and judgment thereon may be entered by
Panel. The Hearing Panel Chairperson will
any court of competent jurisdiction. The Parties
confirm that no Panel member presents a
acknowledge that this Binding Arbitration
conflict of interest with respect to the matters
agreement is made pursuant to a transaction
over which the Panel presides. Once selected,
involving interstate commerce, and agree that the
the Panel members are barred from
Federal Arbitration Act shall apply in all cases and
discussing the Dispute with anyone before
govern the interpretation and enforcement of the
the date of the hearing. Each Panel member
Binding Arbitration agreement, arbitration rules and
and the Parties involved receive a copy of the
arbitration proceedings.
entire Dispute file.
11.5.2. Class Action Waiver: The Parties mutually
11.4.2.3. The Parties shall exchange all
waive any right to assert any Dispute as a class,
documents on which they intend to rely
collective or representative action, or to participate
during the hearing at least 10 days in
in any Dispute asserted as such.
advance of the hearing. In addition, Parties
must submit to the Panel all documents on 11.5.3. No Class Arbitration: The Parties agree
which they intend to rely in proving or that, if the Class Action Waiver at Rule 11.5.2 is
defending their claim at least 10 days in found to be void or unenforceable for any reason,
advance of the hearing. If a Party does not any motion to have the Dispute certified as a class
submit such documents in a timely fashion, action, and any ensuing class action should it be
the Hearing Panel Chairperson may refuse to certified, must be heard and disposed of only by a
allow their introduction. court, and not by an arbitrator; class action claims
cannot be submitted to arbitration under these
11.4.2.4. The Chairperson of the Panel is
Rules under any circumstances.
empowered to control the conduct of the
hearing, and to have authorized persons
administer an oath to any witness. The rules of
evidence do not apply.

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RULES OF CONDUCT
11.5.4. Commencement of Arbitration: The 11.5.7. Arbitrability Issues to Be Decided By
complaining Party may file a demand for Arbitrator: The arbitrator, and not any federal,
arbitration with either the American Arbitration state or local court or agency, shall have exclusive
Association (“AAA”) or JAMS. The arbitration will be authority to resolve any dispute relating to the
commenced and conducted in accordance with the interpretation, applicability, enforceability or
AAA or JAMS (whichever is chosen) fee schedules formation of this Agreement including, but not
and commercial arbitration rules and this Rule 11.5. limited to any claim that all or any part of this
If there is any conflict between the JAMS or AAA Agreement is void or voidable.
arbitration rules and this Rule 11.5, Rule 11.5 shall
11.5.8. Award: The arbitrator’s award shall be
apply. The commercial arbitration rules and
limited to deciding the rights and responsibilities of
information about initiating an arbitration may be
the Parties in the specific dispute being arbitrated.
obtained by (1) contacting AAA at 800-778-7879 or
The arbitrator’s award shall have no collateral
visiting www.adr.org/Rules, or (2) contacting JAMS
estoppel effect in any other proceeding. The
at 800-352-5267 or visiting jamsadr.com/adr-rules-
arbitrator shall not provide a statement of reasons
procedures.
for his or her award unless requested to do so by all
11.5.4.1. If an IBO demands arbitration against Parties.
Amway or an Approved Provider and the IBO’s
11.5.9. Consolidation: Similar claims involving
claim is less than $10,000, Amway or the
multiple Parties may be consolidated before a
Approved Provider, whichever is the applicable
single arbitrator if all Parties agree. The arbitrator
respondent, shall pay for all applicable fees of
will decide any disputed consolidation issues.
AAA or JAMS for initiating and administering
the arbitration and the reasonable fees for the 11.5.10. Discovery: Notwithstanding any discovery
arbitrator for up to two days. If the IBO’s claim provisions in the JAMS or AAA commercial
exceeds $10,000, applicable AAA or JAMS fees arbitration rules incorporated in paragraph 11.5.4
for initiating and administering the arbitration above, no discovery shall occur in an arbitration
and reasonable fees for the arbitrator shall be under these Rules unless and until specifically
borne by the Parties equally. authorized by the arbitrator. The arbitrator shall
decide the amount, scope and timing of discovery
11.5.5. Limitations: Unless prohibited by law,
as appropriate in each case. In addition, before
demand for arbitration by any Party shall be made
requiring any discovery, the Parties involved in the
within two years after the claim arose, but in no
arbitration shall agree on an appropriate
event after the date when the initiation of legal
confidentiality order consistent with the IBO
proceedings would have been barred by the
contract. If they fail to agree, the arbitrator shall
applicable statute of limitations. The two-year
impose appropriate confidentiality requirements on
period or any shorter statutory limitations period
the Parties and witnesses.
shall be tolled during the Mediation process
described in Rule 11.4, provided that the Mediation
process shall not revive any limitations period that
has expired before the time a Party invokes
Rule 11.4.
11.5.6. Single Arbitrator: Unless all Parties to the
arbitration agree otherwise, a single arbitrator shall
be chosen, and Arbitrator candidates must have at
least five years’ experience as a state or federal
judge or as a full-time ADR professional, including
substantial experience in commercial arbitration.

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